<Ontario, Canada>

for the12 th FP

Asset Management Report
From January 1, 2023 to June 30, 2023

Canadian Solar Infrastructure Fund, Inc
2-1-1 Nishi-Shinjuku, Shinjuku-ku,
Tokyo 163-0443 Japan
https://www.canadiansolarinfra.com/en/

Contents

Cleaner Energy
for the Next
Generation

01

To Our Investors

02

Financial Highlights

03

Track Record of Consistent External Growth04

Canadian Solar Group05

Unique Aspect of the Fund

06

Management Interview

08

To Carbon Neutrality

10

Effort in ESG

12

Portfolio

13

Portfolio Overview

15

Growth Policy

17

Financial Summary/Information for Unitholders

18

Asset Management Report

51

Balance Sheet

53

Statement of Income

54

Statement of Changes
in Unitholders’ Equity

55

Notes

63

Statement of Cash Distribution

64

Statement of Cash Flow

Feature StoryTo Our Investors
On behalf of the Canadian Solar Infrastructure Fund, Inc. (hereinafter referred to as “CSIF”), I would
like to express sincere appreciation to all unitholders for their continued patronage and support.
CSIF hopes to contribute to the spread of renewable energy with consideration for the global
environment, aiming to build a sustainable economy and society in the region through efficient
operations utilizing the Canadian Solar Group’s vertical integration model.
In pursuit of these initiatives, we expect the continued understanding and support of allunitholders.
Executive Director, Canadian Solar Infrastructure Fund, Inc.
CEO and Representative Director, Canadian Solar Asset Management K.K.

Hiroshi Yanagisawa

ESG finance andJapan’s carbon
neutrality policies

P9

Financial Highlights

Track Record of Consistent External Growth

Key Indicators for the 12th FP

As of June 30, 2023

CSIF continues to aim for growth with a new mid-term target of JPY 200 billion yen in asset size, while diversifying its portfolio with a focus on
solar power plants, of which the Canadian Solar Group has expertise

12th FP(June 30, 2023)

11th FPStatement of Income Data
(million yen)

ActualForecast@
Feb.15, 2023

ActualIncrease / (Decrease)(vs Forecast)

Operating revenues

3,715

3,690

3,452

(238)

Operating income

1,383

1,352

1,156

(196)

Income before income taxes

1,214

1,149

1,003

(145)

Net income

1,213

1,148

1,003

(144)

 rack Record of Consistent External Growth and Target of asset size (acquisition priceTbasis)
Assets acquired in the 3rd PO

5 projects / JPY16.78 billion / 41.4 MW
2,000

CS Fukuyama-shi PP

Distribution per unit
(including distributions in excess of earnings)

3,750 yen

3,750 yen

3,750 yen—

Distributions per unit
(excluding distributions in excess of earnings)

3,138 yen

2,969 yen

2,595 yen(374) yen

Distributions in excess ofearnings per unit

612 yen781 yen

1,155 yen

374 yen(JPY100
Million)
1,000

CO2 reduction (From Oct 2017 to Jun 2023)

39,397,574 kg-co2

2

25 PV Facilities

Total Acquisition Price

JPY

800.0 bin

13 projects / 72.7 MW

3 projects / 30.3 MW

2 projects / 60.9 MW
305.9 800.0

800115.3 426.2 13.2 439.4

45.6 485.1

800.0

800.0

167.8 967.8
800.0

800.0

485.1 8.8 494.0

2000Panel Output of AUM

183.9 MWCS Kama-shi PP

Second PO

IPO(Oct. 2017)# of Projects

CS Kasama-shi
Dai-san PPFirst PO400 301.0 9.9 310.9

399,035,057 kg-co

CS Miyako-machi
Saigawa PP

IPO acquisitions

600

CO2 reduction (12th FP)

CS Shichikashuku-machi PP

End of
End of
End of
End of
End of
End of
End of
End of
End of
End of
End ofAfteracquisition of
2ndFP
3rdFP
4thFP
5thFP
6thFP
7thFP
8thFP
9thFP
10thFP
11thFP 12thFP(June. 2018) (Dec. 2018) (June. 2019) (Dec. 2019) (June. 2020) (Dec. 2020) (June. 2021) (Dec. 2021) (June. 2022) (Dec. 2022) (June. 2023) assets acquiredin the 3rd PO

Mid-term
Target（Note）(Note) The medium-term target shown above is CSIF’s target as of August 17, 2023, and does not represent a guarantee nor promise that thetarget will be achieved nor when it will be achieved. CSIF’s asset size expansion is dependent on financing environment, development
schedule of solar power plants in the sponsor pipeline, acquisition opportunities of projects outside of the sponsor pipeline, andnegotiations with sellers.

Historical and Forecasted Dividend
Since its listing, CSIF has offered a stable dividend and achieved steady increases in dividends.
(yen)
4,500

4,000

DPU (excl. distributions in excess of earnings)

3,600

3,650

3,650

577
3,000

3,700

3,700

708

601

2,992

3,099

6th FP

7th FP

1,340

1,817

Per unit distributions in excess of earnings

3,700

3,750

924

848

2,776

2,902

8th FP

9th FP

2,000

0

0

3,750

3,750

3,750

3,775

3,775

3,903
3,073

1,000

3,903

2,310

1,783

3rd FP

4th FP

5th FP

3,138

10th FP

11th FP

12th FP

13th FP 14th FP 15th FP(Forecast) (Forecast) (Forecast)（Note）Figures for the 13th~15th Fiscal Period are forecasts and are subject to change. They do not represent guaranteed distribution amounts.

2

3

Canadian Solar Group

Unique Aspects of the Fund

Canadian Solar Group, CSIF’s sponsor, is a global company engaged in the manufacturing and sale of solar panels etc, as well as thedevelopment and operation of solar power plants, It was established in Ontario, Canada in 2001 and has been listed on the NASDAQ stock
exchange since 2006. The company had more than 18,500 employees in 24 countries and has annual sales of approximately $7.5 billion(approximately 1,050 billion yen at current exchange rates) for the fiscal year ending December 31, 2022. The group entered the JapaneseAdvantageous Operation Based on the Vertically-Integrated Model of the Group
Prominent knowledge acquired by the Group as the total solution provider of solar power generation is fully utilized for the operation of CSIF.
The uniqueness of the vertically integrated model of the group is shown as below.

market in 2009 and has been selling solar panels for residential and industrial uses. The sponsor has also been involved in the development ofsolar power plants since the early days of renewable energy, as the Feed-in Tariff system for solar power generation started in Japan in 2012.
Share of shipping PV modules

Bankability#1 pv module2022 Global share

Top 5

Source: PVeyeApril 2023,
Vis On Press Co.,Ltd.

Operational solar power plants

25 GW

94 GW

Source: Bloomberg New Energy
Finance"PV Module and Inverter
Bankability 2022"

Solar power plants underdevelopment or construction

Canadian Solar Infrastructure Fund, Inc.

Approx.

More thancompany consideredbankable in 2022

The image of the value chain of renewable energy business at Canadian Solar Group(panel output basis as of(as of March 31, 2023)

March 31, 2023)

ProjectownerCapture continuous growth opportunities andcreate stable cash flow

iring
acqu
m
o
r
f
rowth
Achieve g

Same boat equity
Sponsor support

External growth

Canadian Solar Group’s Global Operations

As of March 31, 2023

Module and System solutions(MSS) segment

Energy segment

Solar panel factory

19 countries

19 countries

4 countries (17 factories)

Solar panel factory : 4 countries

Germany

Spain

Munich, EMEA CSIS HQ● Framlfirt

●

●

●

LondonItaly

Poland●●Warsaw

Milan

France●Biarritz

Netherland●

Amsterdam

Canada●Guelph: Global HQ
Calgary

U.S.
Austin: North America HQ
Walnut Creek● New York City●●

Latin America
Brazil●São Paulo

Mexico●Mexico City

Colombia●

BogotaMiddle East and Africa
U.A.E
●
●

Abu Dhabi
Dubai

South Africa●

Cape Town

Chile●

Canadian Solar Asset Management K.K.

Canadian Solar Projects K.K.

Develop solar power plants

Canadian Solar O&M Japan K.K.

Solar power plant AM∙O&M

Asia Pacific

Madrid: EMEA GE HQ

ChinaSouth Korea

Suzhou :China HQ
● Beijing● Changshu● Funing● Yancheng● Dafeng● Luoyang● Baotou● Jiaxing● Jiuquan● Suqian● Xining● Taiyuan● Jinan● Guangzhou● Hong Kong, SAR●●

North America●

Manufacture PV modules

Recoup development funds

Vertically Integrated Business Model

EuropeU.K.

Canadian Solar Inc.

s
ant
r pl
e
w
r po
sola

Santiago

Taiwan●Hsinchu

Japan
Tokyo
Osaka
● Fukuoka● Sendai●●Seoul● Gwangju

Developer
Operator

Manufacturer

Asset Management
O&M provider

India
●

New Delhi

Canadian Solar Group

Thailand●

ChonburiVietnam●Hai Phong

Malaysia●

Kuala Lumpur

Singapore

Solid Bank Formation
Currently, we have created a strong bank formation consisting of a total of 23 financial institutions, including five banks consisting of three

Singapore

megabanks as well as SBI Shinsei Bank and Sumitomo Mitsui Trust Bank as arrangers and co-arrangers, and we believe that we have

Australia

established a financing structure for future asset expansion.

●●●

Melbourne
SydneyFinancing from domestic and overseas investors
In the past three public offerings, including the IPO, CSIF has raised funds from both domestic and overseas investors through global offerings.
In the third public offering, CSIF has raised funds through Domestic Offering, Rinpo Format, which is Transaction was documented by aJapanese language prospectus and an English language prospectus was not be prepared.

Source: The above map was compiled by CSAM based Canadian Solar Inc. Investor Presentation June 2023

4

5

Management Interview

Output curtailment can be said to have had a major
impact in the 12th fiscal period. What is the outlook
for output curtailment and what impact will output
curtailment have on your performance?

Aim to support the growthof Renewable Energy Industry
as the leading listed
Infrastructure Fund
Executive Director Canadian Solar Infrastructure Fund, Inc.
CEO and Representative Director Canadian Solar AssetManagement K.K.

Hiroshi Yanagisawa

What was CSIF’s management performance in the
12th fiscal period?
Although we were generally blessed with good weather throughout
the 12th fiscal period, the frequency of output curtailment in the
Kyushu Electric Power jurisdiction and other areas increased
significantly year on year, and the negative impact on energy
output was bigger than ever. The implementation of more frequentand extended output curtailments in March, April and May inparticular, not only in the Kyushu Electric Power jurisdiction but
also across many other areas including in the jurisdictions of
Chugoku Electric Power and Tohoku Electric Power, caused us toturn in our weakest power generation performance to date, withactual energy output reaching 88.05% of projected energy output.
As a result, operating revenues fell short of our initial forecast. In

6terms of operating expenses, maintenance and management costs,
depreciation, and administrative fees were all less than initiallyforecast and we also recorded insurance income in non-operating
incomes and expenses; however, these factors were not enough tooffset the decline in operating revenues, and operating income,ordinary income and net income all fell short of our initial forecasts.
Ultimately, operating revenue was 3,452 million yen, operating
income was 1,156 million yen, ordinary income was 1,003 million
yen, and net income was 1,003 million yen. As a result, profit
distributions per unit decreased 374 yen from the initial forecast,to 2,595 yen. In addition, distributions in excess of earnings wereincreased by 347 yen, the same amount as the decrease in profit
distributions per unit, and the total dividend per unit was set at
3,750 yen, the same amount as the initial forecast.

In the 12th fiscal period, output curtailments were implemented
more frequently and for longer periods than anticipated. Possible
factors contributing to this result include a decrease in power
demand due to the effects of energy savings prompted by surging
energy prices, in addition to an increase in electricity supply as aresult of continued expansion in photovoltaic power generation
facilities. However, we assume that the impact of output
curtailments will be limited in the 13th fiscal period.
Reasons for this include that more than 80% of total output
curtailment has been implemented from March through May in thepast, and that 10 of the power plants held by CSIF in the Kyushu
Electric Power jurisdiction as of the end of the 12th fiscal period
are under the 30-day rule, which sets the maximum number ofdays of output curtailment at 30 days a year, and the number ofdays output curtailment has been implemented since the beginningof FY2023 (since April) is approaching 30 days.
In addition, government initiatives to reduce curtailment of
renewable energy power output are underway. In May 2023,
METI’s Power Grid Working Group proposed measures such as (i) areduction of minimum output for newly constructed thermal power
plants from the current 50% to 30%, and (ii) wide-area output
curtailment operation. At the Mass Renewable Energy Introduction/ Next Generation Energy Network Committee in June 2023, underthe basic policy of reducing curtailment of renewable energy power
output, experts agreed to compile new countermeasure packages
for the reduction of curtailment of renewable energy power output
within 2023 after broadly discussing possible actions to be taken
each for supply, demand and grid. In light of the fact that the 6th
Basic Energy Plan sets out expansion of renewable energy as agovernment target as well as the abovementioned government
initiatives, we expect output curtailment to have less of an impact
in coming fiscal years than they had this year.

Tell us about the third public offering. What were
the features of the third public offering and theasset acquisitions?
In the third public offering, we issued a total of 65,100 units
through public offering and secondary offering, including exerciseof the over-allotment option, and the total offering amount was
7,322 million yen. Furthermore, we completed the borrowing offunds totaling 12,700 million yen through long-term borrowing of
11,600 million yen and short-term borrowing as a bridge loan for
consumption tax payment of 1,100 million yen, and we newly
acquired five assets in total with a total acquisition cost of 16,780

million yen. Features of these latest acquisitions include that (i) the
acquired assets are power plants with comparatively high FIT
procurement prices ranging from 32 yen to 40 yen, (ii) the
acquired assets are located in the jurisdictions of Tohoku ElectricPower, Tokyo Electric Power, Chugoku Electric Power and Kyushu
Electric Power, increasing the geographical diversification of ourportfolio, and (iii) we acquired CS Kama-shi PP, a third-party
developed asset for the first time in addition to four sponsordeveloped assets. We have also reduced our concentration risk byincreasing portfolio income diversification, with the percentage of
total income on a panel output basis accounted for by the threelargest assets falling from around 70% before the acquisitions toaround 57% after the acquisitions. Moreover, as a result of theselatest initiatives, we plan to increase distributions per unit for the
14th and 15th fiscal periods by 25 yen to 3,775 yen. We believethat the third public offering will give a big boost to DPU growth inparticular, with DPU growth of 6.61% (194 yen) and 0.96% (29yen) forecast in the 14th and 15th fiscal periods respectively and
DPU growth of 3.74% (223 yen) forecast on a full year basis.

Tell us about your growth outlook
and future initiatives.
CSIF had previously been aiming for an asset size of 100 billion
yen in the medium term by mainly acquiring assets from thesponsor pipeline; however, we have now almost reached this goal
and are, therefore, aiming for growth with a new mid-term targetof 200 billion yen in asset size. To increase our asset size to 200
billion yen, we intend to achieve sourcing route diversification byaccelerating acquisitions of third-party developed assets in addition
to acquisitions from our abundant sponsor pipeline.
The sponsor pipeline currently consists of a total of 21 assets thatare already operational, under construction or under developmentwith a total panel output of 350.6 MW, which is a decent size evencompared with the 225.3 MW in panel output of CSIF’s current
portfolio. Among these, CS Azuma Kofuji Solar Power Plant, which
was the sponsor’s largest development project and was among
Japan’s largest projects, was transferred to a bridge fund at theend of May 2023. Canadian Solar Asset Management K.K. (CSAM),
which is CSIF’s asset manager, concluded a basic agreement withthe bridge fund under which CSAM holds preferential negotiatingrights to acquire the asset in the future. The advantages of using abridge fund, which we did for the first time on this occasion,
include that this enables (i) adjustment of mismatches between thedesired timing of transactions between the seller and CSIF and (ii)allows CSIF to control the number of assets acquired and the scaleof acquisitions and to make asset acquisitions more flexibly. We
plan to strengthen our growth by diversifying sourcing routes andsourcing methods in this way.

7

To Carbon Neutrality
PM Suga in October of 2020 set a target to achieve zero greenhouse gas emissions by 2050 in his general policy speech.
Given the policies and forecasts released by the Japanese government, CSIF believes that renewable energy may make up a larger portion of

Feature Story

ESG finance and Japan’s carbon neutrality policies

the supply of electricity generated in Japan.

Long-term goal to reducegreenhouse emissions

Pledge to maximize use ofrenewable energy sources

×

Zero greenhousegas emissions

Renewable energy to bepromoted as themain power sourceby 2050

in Japan’s energy mix

Commence discussions
on carbon pricing rule＋

Actively devise
legislation on pricing
of carbon emissions

Increase in renewable

Promote use ofenergy within total energy mix

renewable energy

Aiming to Achieve

In the 6th Basic Energy Plan approved by the Cabinet in October 2021, it was stated that “based on
the basic premise of S+3E(Note), we will thoroughly make renewable energy the main source ofpower, work on the principle of giving top priority to renewable energy, and maximize the introductionof renewable energy while curbing the burden on the public and coexisting with local communities.

Carbon Neutrality

Ratio of Renewable Energy in total Energy Mix Target : 36~38%
Solar power is expected to compose 14%~16% of the total renewable energy mix

（%）
120

Renewable energy
Coal-fired

NuclearOil thermal, etc.

LNG
Hydrogen-Ammonia

Solar

Wind

Geothermal

Hydraulic

40

11%

20
0

FY2019Actual

FY2030 Target(2015 forecast)

FY2030 Target(6 Basic Energy Plan)th

FY2030 government
renewable power
output target(breakdown within the
renewable sector)

1%（Note）Preliminary figures for FY2020 are used, and there may be differences from the finalized FY2020 figures to be released in 2022.

8

The government’s target power source ratio for 2030 is expected to be 36-38%, with solar power accounting for the largest share at 14-16%. The
government’s target of renewable energy for 2030 is 36-38% of the total power supply, with solar power accounting for the largest share at 14-16%, so
the role of solar power will be important for the time being.
（Note）The acronym stands for Safety, Energy Security, Economic Society, and Environment.

Carbon emissions from electricity production makes up 35.7% of total carbon emissions in Japan, and the introduction and wider use of renewableenergy are expected to contribute towards lowering Japan’s carbon emissions.

Biomass

14～16%

100

60(TCFD) and other opportunities for similar disclosure as well as“100% renewable” (RE100) and net carbon zero target setting
are becoming increasingly active among global companies andissuing entities. In other words, investors and banks are positively
evaluating these ESG initiatives, while businesses also havebecome keenly aware of these initiatives as means to improve
corporate value.
In Japan, since Prime Minister Yoshihide Suga made a policy
speech in October 2020 on the establishment of goals for
reducing greenhouse gas emissions and achieving carbon
neutrality by 2050, the Japanese government has been
accelerating initiatives toward post-carbon society.
In circumstances where new currents are emerging, someforward-thinking global enterprises are now asking their business
partners to set emission reduction targets, conduct renewableenergy procurement, etc. Initiatives to achieve the post-carbon
society are shaping corporate management strategies andleading to the creation of new business opportunities.

Breakdown of greenhouse gas emissions in Japan

5%80

Investments and loans made by taking into account not only
conventional financial information but also non-financial
information, comprising environmental, social and governancefactors, are called ESG finance. ESG finance has attracted
worldwide attention and in the last several years has been
expanding dramatically in Japan. Needless to say, ESG financehas had a favorable impact on investments in investment units
offered by the Investment Corporation, loans from banks and theissuance of green bonds.
As ESG financeevolves and expands
both in terms of
quality and volume,
moves to respond to
the initiatives of the
Task Force on
Climate-related
Financial Disclosures■ Energy related CO2 emissions (electricity)：36.7%■ Energy related CO2 emissions (non electricity)：47.5%■ Non energy related CO2 emissions：6.7%■ Greenhouse gas emissions other than CO2：9.2%

FY2020greenhousegas emissions（1.14bn tons）

5%

36.7%

Renewable energy
sources

Fossil fuel

Reduced carbon
emissions with theutilization ofrenewable energy

Based on the judgment that it is essential to conduct a comprehensive review of the regulations that serve as barriers to this process, and to promote
the necessary regulatory review and expedite the review process, the government established the “Task Force for Comprehensive Review of Regulations
Concerning Renewable Energy, etc.” in November 2020 in order to achieve such regulatory reform with a sense of speed. Many requests forderegulation and removal of regulations have been submitted and studies have begun in the areas of(1)location restrictions, (2)grid regulations, (3)market restrictions, (4)coexistence with local communities, and(5)others.

9Effort in ESG

Introduction●

CSIF selects ESG subjects (materiality) of particular importance to CSIF
and promote efforts to achieve and further improve targets by setting

Canadian Solar Asset Management K.K. (“CSAM”) serves as an asset

KPIs and implementing specific measures for materiality items throughmanager of Canadian Solar Infrastructure Fund, Inc. (“CSIF”) which invests

future activities.

mainly in renewable energy power generation facilities. Canadian Solar
Project K.K. (“CSP”) is a developer of PV projects and a sponsor for CSIF.

The first listed infrastructure fund to conduct
disclosures under TCFD guidelines

CSAM together with CSP has contributed to building a sustainableeconomic society in local regions while paying a great attention to theglobal environment. Thus, CSAM has run its asset management businesswith its focus on the environmental aspect among the ESG initiatives. In
addition, CSAM fully recognizes that considering the social and governanceaspects in the asset management operations is also deemed extremely
important by investors and fund managers in Japan and overseas with afocus on SRI. Under such circumstances, CSAM believes that active,

TCFD was established by the Financial Stability Board (FSB) to promote

Environment

E

Incorporate measures to reduce
environmental impact from manufacturingsolar panels

The Canadian Solar Group is focused on reducing the environmental
impact from solar panel manufacturing processes such as
greenhouse gases and industrial waste water and have achieved thefollowing reductions in our environmental impact from 2017 to2022.

transparency on climate-related information disclosures and discuss
implementation methods for financial institutions.As of February 14, 2022,

Reduction of industrial water consumption (/ MW)

CSIF conducts climate-related disclosures in accordance with the guidelinesof the TCFD Recommendations.

2017
Approx.

153 ton

20%

－

2022
Approx.

123 tonappropriate disclosure of information about its initiatives will be more
important going forward; therefore, CSAM set forth its“Approach into UN
CSAM has facilitated the “Contribution to the Global Environment” via an●

In order to prevent greenwashing (falsely claiming the sustainability of a

CSIF. Going forward, CSAM would like to make an opportunity for SRI

particular product) and to create a more transparent playing field for ESG

available for investors by “Realizing A Sustainable Society” and “Vitalizing A

investors in their investment decision-making, EU SFDR was created for

Regional Society” as for the social and governance aspects.

the purpose of enhancing transparency of sustainable investment.
●

conduct SFDR Article 8 disclosure requirements of pre-defined ESG(environmental, social, governance) factors.

External Certification and Recognition Related
to ESG●2017

Approx.

2,249 ton

－

67%

2022
Approx.

750 tonCanadian Solar Group’s relationship with the local
community around CS Daisen-cho

CSIF revised a new Green Finance Framework which obtained a
Green1(F) assessment from JCR, the highest assessment rating as ofJune 30, 2023.

Power plant carefully developed by protecting the richenvironment of Daisen-cho
The district in which CS
Daisen-cho Power Plant islocated is in close proximity
to districts known for theirdiverse and rich ecologicalenvironments with forests,
plants and wild birds. Efforts were made to refrain from using
chainsaws when developing the project to avoid damaging thehabitat of rare species of indigenous falcons, while painting thefence around the site using camouflage colors.
The power plant can provide 27MWp of clean regenerated energy,
equivalent to electricity for approximately 8,000 households.
SocialESG Report●S

Canadian Solar Group’s relationship withthe local community❶In the Daisen Canadian Garden, there is a monument created in the motif ofthe local mountain, Mt. Daisen. ❷Repaired the Hima Jinja Shrine❸Donated an incense holder made of white granite to Shimpukuji Temple

Donation to Marumori-machi, Igu-gun, Miyagi prefecture
where CS Marumori-machi is located
The sponsor and CSAM offered donations to the Marumori-machi
Town Government. The town was severely hit by Typhoon Hagibis in
October 2019.
GovernanceG

Aligning the interest of unitholders withthat of the Sponsor

We aim to increase unitholders’ value by aligning the interest ofunitholders with that of the sponsor.

CSAM endorsed the TCFD (Task Force on
Climate-related Financial Disclosures)
recommendations in February 2022.
CSIF and CSAM published the ESG reportin February 2023.

10

The Sponsor constructed the Daisen Canadian Garden and donatedit to the Daisen-cho Town Government in commemoration of thecompletion of CS Daisen-cho Power Plant, now owned by the CSIF
after development, and as part of its contribution to local
communities in an effort to create harmony between nature and thelarge-scale solar power plant. In addition, it repaired the Hima Jinja
Shrine in the same town and donated an incense holder made ofwhite granite to the Shimpukuji Temple.

Disclosure covers all information relevant to policies on sustainability risk,sustainability of financial products, and ESG factors.CSIF is scheduled to

Signatory to UN PRI / CSAM’s approachon UN PRI
As of August 13, 2019, ourasset manager, Canadian Solar
Asset Management K.K.
(“CSAM”), became the firstJapanese asset manager of alisted infrastructure fund to be a signatory to the UN PRI (United
Nations supported Principles for Responsible Investment) to promote
ESG (Environmental, Social, Governance) investments.
As a signatory to the UN PRI, CSAM devised an “Approach to UN PRI
Guidelines” as of the end of December 2020 as its basic ESG policy,
which can be found on CSIF’s website as of February 17, 2021.

Reduction of industrial water consumption (/ MW)

Adherence to EU Sustainable Finance Disclosure
Regulation (SFDR) Article 8 disclosure requirements

PRI” as ESG basic policy late December of 2020.
increased installment of renewable energy facilities in Japan since IPO of

Canadian Solar Group’s relationship with the local
community around CS Daisen-choCanadian Solar Group’s relationship with local
communities at Hiji-machi
Canadian Solar Asset Management Inc. is sponsoring the Xavier‘s
Way Walking in Hiji-machi, where CS Hiji-machi Power Plant and CS
Hiji-machi Dai-Ni Power Plant are located. In 2022, CSAM
employees participated in this event, which is a walk along a historic
trail that Francisco Xavier is said to have passed through.

After the 3rd PO, number of units held by the sponsor
and holding ratio

65,672 units（14.63%）
11

Portfolio

Portfolio Overview June 30, 2023

Portfolio Highlight

As of June 30, 2023

# of Projects

Total Acquisition Price

25 PV Facilities

Panel Output of AUM

800.0 bin

JPY

183.9 MW

（Note）“Total Acquisition Price” is total of the purchase prices based on the sales and purchase agreement for each project.
S-01

Total Energy Output for the Period
12th FP actual energy output ÷ projected energy output

CS Shibushi-shi PP

88.05％S-02

CS Isa-shi PP

S-03

CS Kasama-shi PP

S-04

CS Isa-shi Dai-ni PP

S-05

CS Yusui-cho PP（10th FP（corresponding period of the previous year）：108.23%）
Projected energy（MWh）Actual energy output

69.5%

76.7%

93.1%

25,000102.3%

20,00015,00020,834

99.5%

12,251 12,256

17,85016,61999.7%

20,756
15,915

14,481

13,477 13,405

17,456 17,409
S-06

CS Isa-shi Dai-san PP

10,000S-07

CS Kasama-shi Dai-ni PP

S-08

CS Hiji-machi PP

S-09

CS Ashikita-machi PP

S-10

CS Minamishimabara-shi
PP (East & West)

5,000
0

Jan.

Feb.

Mar.

Apr.

May.

Jun.

Historical Portfolio Diversification (panel output basis)
End of 11th FP(ended Dec. 2022)

At IPOEnd of 12th FP(ended June. 2023)
S-11

S-12

CS Minano-machi PP CS Kannami-cho PP
29.0%
3.5%
5.4%

65.6%

Remaining FIT period of projects-undermanagement (panel output basis)
（MW）

80

¥24／kWh

40
20
0

12

FIT period: 11 years

20
23

0.9

49.0

¥21／kWh6.3 3.0 27.3
1.2 11.9

1.7

12.9

S-16

2.3

75.27
48.89

60.00
47.09

50.00
40.00 33.86

53.4
7.5

2
2
2
2
2
2
20
34 035 036 037 038 039 040

30.00
20.00

35.96
42.07

50.02 51.49 49.58

42.67

CS Ena-shi PP

Book value
79.03 77.17

70.00¥32／kWh60

Valuation price

80.00¥36／kWhCS Tsuyama-shi PP■ CS Hiji-machi Dai-ni PP■ CS Mashiki-machi PP■ CS Daisen-cho PP (A & B)

（JPY billion）¥40／kWhCS Koriyama-shi PP

S-15

25.9%

Historical valuation and book value(after depreciation)

Projects reaching FIT expiration
after 2034

100

14.8%

■ CS Hiji-machi Dai-ni PP■ CS Mashiki-machi PP■ CS Daisen-cho PP (A & B)

■ CS Mashiki-machi PP■ CS Minami Shimabara-shi PP (east & west)■ CS Hiji-machi PP

CS Mashiki-machi PP

S-14

29.0%

25.9%

14.8%

S-13

73.86

S-17

CS Daisen-cho PP(A) (B)

S-18

CS Takayama-shi
PP

S-19

CS Misato-machi PP

S-20

CS Marumori-machi
PP

76.36 75.51 74.87
72.41 71.03

69.59

46.47 45.57 45.35

30.44 31.11

IPO 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 11th 12th
FP FP FP FP FP FP FP FP FP FP FP

S-21

CS Izu-shi PP

S-22

CS Ishikari Shinshinotsumura PP

S-23

CS Osaki-shi
Kejonuma PP

S-24

CS Hiji-machi Dai-niPower Plant

S-25

CS Ogawara-machi
Power Plant
13

Portfolio Overview June 30, 2023

Growth Policy

List of Power Plant Assets

Operational Start Year and Status of Sponsor Portfolio Assets
Acquisition Valuation Price
Portfolio
Price(Note)(%)(million yen) (million yen)

Panel Output FIT Price
(kW)
(yen)

Electric
Power
service area

Curtailment
rules

Onlinecurtailment
system status

No.

Project nameLocation

S-01

CS Shibushi-shi Power Plant

Shibushi-shi, Kagoshima

540

460

0.61

1,224.00

40

Kyushu30-day rule○

S-02 CS Isa-shi Power Plant

Isa-shi, Kagoshima

372

305

0.41

931.7740

Kyushu30-day rule○

S-03 CS Kasama-shi Power Plant

Kasama-shi, Ibaraki

907

853

1.14

2,127.84

40

Tokyo

30-day ruleIsa-shi, Kagoshima

778

630

0.84

2,013.99

36

Kyushu30-day rule○

S-05 CS Yusui-cho Power Plant

Aira-gun, Kagoshima

670

544

0.73

1,749.30

36

Kyushu30-day rule

○
○

S-06

CS Isa-shi Dai-san Power
Plant

Isa-shi, Kagoshima

949

785

1.05

2,225.08

40

Kyushu30-day ruleS-07

CS Kasama-shi Dai-ni Power
Plant

Kasama-shi, Ibaraki

850

738

0.99

2,103.75

40

Tokyo

30-day rule

Hayami-gun, Oita

1,029

845

1.13

2,574.99

36

Kyushu30-day rule

○

S-09

CS Ashikita-machi Power
Plant

Ashikita-gun, Kumamoto

989

830

1.11

2,347.80

40

Kyushu30-day rule

○

S-10

CS Minamishimabara-shi
Power Plant (East & West)

Shimabara-shi,
Nagasaki

1,733

1,504

2.01

3,928.86

40

Kyushu30-day rule

○

S-11

CS Minano-machi Power Plant Chichibu-gun, Saitama

1,018

950

1.27

2,448.60

32

Tokyo

30-day rule

S-12

CS Kannami-cho Power Plant

514

476

0.64

1,336.32

36

Tokyo

30-day rule

S-13

Kamimashiki-gun,
CS Mashiki-machi Power Plant
Kumamoto

19,751

19,04625.44

47,692.62

36

Kyushu30-day rule

S-14

CS Koriyama-shi Power Plant

Koriyama-shi,
Fukushima

246

220

0.29

636.0032

Tohoku30-day rule

S-15

CS Tsuyama-shi Power Plant

Tsuyama-shi, Okayama

746

642

0.86

1,930.50

32

Chugoku

30-day rule

S-16

CS Ena-shi Power Plant

Tagata-gun, Shizuoka

Ena-shi, Gifu

757

713

0.95

2,124.20

32

Chubu

360-hour rule

Chugoku

30-day rule

13th FP(Scheduled)

S-18

CS Takayama-shi Power Plant

Takayama-shi, Gifu

326

289

0.39

962.2832

Chubu

360-hour rule○

CS Misato-machi Power Plant

Kodama-gun,
Saitama-ken

21

S-20

CS Marumori-machi Power
Plant

Igu-gun, Miyagi

850

730

0.98

2,194.50

36

TohokuS-21

CS Izu-shi Power Plant

Izu-shi, Shizuoka

4,569

3,998

5.34

10,776.80

36

Tokyo

30-day rule

S-22

CS Ishikari Shinshinotsu-muraPower Plant

Ishikari-gun, Hokkaido

680

579

0.77

2,384.64

24

Hokkaido

Unlimited andUncompensated
rule

○

S-23

CS Osaki-shi Kejonuma Power
Plant

Osaki-shi, Kejonuma

208

186

0.25

954.9921

TohokuUnlimited andUncompensated
rule

○

S-24

CS Hiji-machi Dai-ni Power
Plant

Hayami-gun, Oita

27,851

27,27236.42

53,403.66

40

Kyushu30-day rule

○

S-25

CS Ogawara-machi Power
Plant

Shibata-gun, Miyagi

2,745

2,730

3.65

7,515.35

32

TohokuUnlimited andUncompensatedrule○

80,001

74,876100.00 183,973.12

—

—

—

—

○
13th FP(Scheduled)

projects,

350.6

Under development

MW350.6MW0

Operational

2023

2024

2025

2026 -

Total

Abundant Pipeline Centered on Sponsor-Developed Assets Assisting CSIF’s Growth
as of June 30, 2023: excluding the five properties acquired through the 3rd public offering
Lower row in each box ; size (MW)/ FIT price in JPY/ anticipated COD● Under construction

Pink box for Bridge Fund projects● Under development（24.5 MW/14.49/2022）（1.9 MW/11.49/2024）

CS Okayama Shinyubara PP
CS Hiroshima Suzuhari PP
CS Yamaguchi Hofu PP（21.0 MW/11.99/2025）

CS Gunma Minakami Dai-ni PP（2.2 MW/18/2023）

CS Nagano Omachi PP（3.0 MW/10.14/2025）

CS Ishikawa Chausuyama PP（8.9 MW/24/2025）（8.0 MW/14.25/2023）

CS Yamaguchi Aiofutajima PP

Unlimited andUncompensated
rule

Total

MW

100

（17.8 MW/17.97/2022）40

30-day rule

Under construction

138.4

200

（29.9 MW/13.47/2025）

27,302.40

Tokyo

projects,

300

○

12.22

32

Operational

7

MW

400

CS Tottori Daisen Dai-ni PP
○

9,147

1,082.88

212.2

Total pipeline

CS Gunma CC PP

10,4470.53

projects,

Under development

CS Gunma Takasaki KG PP

Saihaku-gun, Tottori

397

14

○

CS Daisen-cho Power Plant(A)(B)

470

Operational and under construction● Operational

S-17

S-19

Target to achieve ¥200 Bn in asset size in the medium term by mainly acquiring assets from abundant sponsor pipeline（MW）

S-04 CS Isa-shi Dai-ni Power Plant

S-08 CS Hiji-machi Power Plant

External Growth Strategy（1.2 MW/18/2022）

CS Oita Munechika PP（8.1 MW/32/2023）

CS Hokkaido Bihoro PP（2.5 MW/18/2021）

CS Aomori Maita PP（3.0 MW/10.89/2024）

CS Miyagi Kami-machi PP（80.0 MW/10.76/2026）

CS Fukushima Sabara PP（3.0 MW/10.79/2024）

CS Azuma Kofuji PP（100.0 MW/36/2022）

CS Fukushima Ishikawa PP（19.4 MW/FIP/2028）

CS Tochigi Kitsuregawa PP（1.2 MW/32/2023）

CS Ibaraki Kurusu PP（11.3 MW/24/2022）

CS Ibaraki Takamihara PP（1.2 MW/11.99/2024）

CS Shizuoka Gotenba PP（2.0 MW/27/2023）

Source： Compiled by the Asset Manager based on disclosures by Canadian Solar Projects K.K.

Enterprising assets acquisition from third parties
While we focus on acquiring solar energy projects from our Sponsor pipeline, we aim to diversify our acquisition opportunities not only by(Note) The term “valuation price” refers to the intermediate value of power plants whose property numbers in the Asset List on page 12 are S-01
through S-18 estimated by CSIF, based on the valuations of power plants at the end of June 2023 calculated by PricewaterhouseCoopers
Sustainability LLC. As for power plants S-19 through S-25, “valuation price” is the median value calculated by Kroll, LLC at the end of June
2023.

14

utilizing bridge funds but also by securing acquisition routes from third parties with Asset Manager’s network.

15

Initiatives for Internal Growth

Growth Policy

Financial Summary

Tracking information disclosure and expansion of demand for renewable energy
In light of the rapidly increasing awareness of global efforts towards carbon neutrality amongst Japanese electricity consumers, CSIF will
grant access to tracking information (key information on renewable Power Plant as specified in the FIT Non-Fossil Certificate) of CS Daisencho Power Plant (A), Daisen-cho Power Plant (B), and CS Marumori-machi Power Plant for electricity consumers.
● At the Electricity and Gas Strategic Policy Subcommittee held in December 2022, a proposal to raise the minimum price of renewable energy
traded in the Non-Fossil Value Trading Market has been submitted for panel review. CSIF believes that the need for renewable energy tradingis rising amongst consumers.
●(Summary image of tracking information)
Power producers

Power producers

Wind PP “A”

Solar PP “B”

Geothermal “C”

FIT Non-Fossil
Certificate

FIT Non-Fossil
Certificate

FIT Non-Fossil
Certificate

JEPX Non-Fossil
Value Trading
MarketFIT Non-Fossil
Certificate

Solar PP “B”

As of June 30, 2023

Verage borrowing Interest

DSCR (Note1)

LTV (Note2)

Fixed-to-variable interest
rate ratio (Note3)

0.86%

2.01

48.81%

100.0%（Note1）DSCR, or Debt Service Coverate Ratio is calculated as the sum of our operating income, depreciation costs and the increased portion of
the reserves in our reserve fund for repair fees divided by the sum of our loans payable and interest expenses for the relevant fiscal period.
DSCR is an operating measure to illustrate the ability to meet principal and interest payment obligations on existing loan payable.
（Note2）Loan to value, or LTV is calculated as interest-bearing debt divided by total assets as of the end of the relevant fiscal period multiplied by
100.
(Note3) “Fixed-to-variable interest rate ratio” refers to the ratio of fixed interest rate liabilities to total interest-bearing liabilities at that time.
Variable interest rate liabilities that were converted to fixed interest rate liabilities through interest rate swap agreements were deemed as
fixed interest rate liabilities.

Geothermal “C”

Credit rating
CSIF is the only TSE-listed infrastructure fund rated by both of JCR and R&I as of June 30, 2023.
FIT Non-Fossil
Certificate? ?

FIT Non-Fossil
Certificate

Wind PP “A”

Financial Summary

FIT Non-Fossil
Certificate

FIT Non-Fossil
Certificate

JCR : A (Stable)

R&I : A- (Positive)(As of August 17, 2023)(As of August 4, 2023)

FIT Non-Fossil
Certificate

Historical Balance of Interest-bearing Debt
Electricity retailers (consumers)

Electricity retailers (consumers)（JPY million）

Loan（short-term）

Loan（long-term）

Bond

50,00040,000(Note) FIT Non-Fossil Certificates are certificates that represent the renewable energy value of electricity purchased on a feed-in tariff under the FIT
system and traded on the non-fuel value trading market of the Japan Electric Power Exchange (hereinafter referred to as “JPEX”).

30,00020,00010,000

New Specific Wholesale contracts with Retail Electricity provider0

For the following Power Plants, CSIF has reviewed the existing specific wholesale contracts for premium electricity sales and concluded new
specific wholesale contracts for renewable electricity and with retail electricity providers in April 2023 and June 2023.
● CSIF believes that it will contribute to the spread of renewable energy and at the same time, contribute to the realization of internal growththrough the recording of additional rental income.

2017

2018

2019

2020

2021

2022

2023

2024

2025

2026

2027

2028

2029

2030

●

Power Plant

Renewal Period/
Termination ofcontract

CS Hiji-machi Dai-ni PP
CS Mashiki-machi PP
CS Izu-shi PP
CS Ogawara-machi PP

16

Renewal for 1 year
after 2 years

Contract Date

Scheduled Start Date ofSpecific Wholesale

April 24, 2023

July 1, 2023

June 30, 2023

September 1, 2023

June 30, 2023

September 1, 2023

June 30, 2023

September 1, 2023

Information for Unitholders
Information for Unitholders
End of fiscal period

June 30 and December 31

Dividend payment record dateJune 30 and December 31 (payment is to be made within 3 months after the date)

Listed financial instruments exchangeTokyo Stock Exchange (securities code: 9284)

Unitholders’ meeting

Once a every 2 years

Public announcement newspaper

Nihon Keizai Shimbun (Nikkei)

Administrator of unitholder list etc.

Sumitomo Mitsui Trust Bank, Limited[Contact information]

Izumi 2-8-4, Suginami-ku, Tokyo 168-0063
Sumitomo Mitsui Trust Bank, Limited
TEL: 0120-782-031

17

Ⅰ. Asset Management Report(2) Overview of the Fiscal Period under Review

1. Overview of Fund Operation(1) Historical Operating Result of the FundFiscal Period

8th FP

9th FP

10th FP

11th FP

12th FP

Fr. Jan. 1, 2021
To Jun. 30, 2021

Fr. Jul. 1, 2021
To Dec. 31, 2021

Fr. Jan. 1, 2022
To Jun. 30, 2022

Fr. Jul. 1, 2022
To Dec. 31, 2022

Fr. Jan. 1, 2023
To Jun. 30, 2023

Operating Revenue (in JPY mln)

3,425

3,587

4,060

3,715

3,452

(Rental revenue of renewable energy power
plants, out of operating revenue) (in JPY mln)

3,425

3,587

4,060

3,715

3,452

Operating Expense (in JPY mln)

1,966

2,242

2,316

2,331

2,296

(Expense for rental of renewable energy power
plants, out of operating expense) (in JPY mln)

1,781

2,033

2,090

2,114

2,083

Operating Income / Loss (-) (in JPY mln)

1,459

1,344

1,743

1,383

1,156

Ordinary Income / Loss (-) (in JPY mln)

1,074

1,123

1,509

1,214

1,003

Net Income / Loss (-) (in JPY mln)

1,073

1,122

1,509

1,213

1,003

Unitholders’ Capital (net) (Note 5) (in JPY mln)

39,31738,96038,632

38,63238,396

Total number of units issued (unit)

386,656

386,656

386,656

386,656

386,656

Total Assets (in JPY mln)

84,29980,63379,47577,98676,365

71.9

(4.3)

(1.4)

(1.9)

(2.1)

40,391

40,08240,142

39,84639,399(vs prior FP) (%)
Total Net Assets (in JPY mln)

87.1

(0.8)

0.1

(0.7)

(1.1)

Interest-bearing Liabilities (in JPY mln)

(vs prior FP) (%)

43,37639,93738,80537,68836,543

Net Asset Value per Unit (Base price) (in JPY)

104,463

103,665

103,818

103,053

101,898

Total Distribution (in JPY mln)

1,430

1,449

1,509

1,449

1,449

Distribution per Unit (in JPY)

3,700

3,750

3,903

3,750

3,750

(DPU excl. distribution in excess of earnings, in JPY)

2,776

2,902

3,903

3,138

2,595

(Distribution in excess of earnings per unit, in JPY)

924

848

-

612

1,155

Return on Assets (Note 4) (%)

1.6

1.4

1.9

1.5

1.3

(annualized ratio) (%)

3.2

2.7

3.8

3.1

2.6

Return on Capital (Note 4) (%)

3.5

2.8

3.8

3.0

2.5

(annualized ratio) (%)

7.0

5.5

7.6

6.0

5.1

Capital Ratio (Note 4) (%)

47.9

49.7

50.5

51.1

51.6

(vs prior FP) (%)

3.9

1.8

0.8

0.6

0.5

100.0

100.0

100.0

100.0

100.0

Number of Days for FP (days)

181

184

181

184

181

Number of Invested Asset as of End of FP

25

25

25

25

25

1,258

1,451

1,452

1,453

1,454

Distribution Payout Ratio (Note 4) (%)[Other Information]

Depreciation Expenses (in JPY mln)
CAPEX (in JPY mln)
Rental NOI (Note 4) (in JPY mln)

107

56

32

69

23

2,902

3,005

3,422

3,053

2,823

FFO (Funds from Operation) (Note 4) (in JPY mln)

2,332

2,574

2,961

2,667

2,458

FFO per Unit (Note 4) (in JPY)

6,031

6,658

7,660

6,897

6,357

Interest-bearing Liabilities Ratio (Note 4) (%)

51.5

49.5

48.8

48.3

47.9

(Note 1) Fiscal periods of the fund are six months for January 1 to June 30 and July 1 to December 31 every year.
(Note 2) Unless otherwise described, the numbers are rounded down and the ratio are rounded up or down.
(Note 3) The calculation methods are as below.
Return on Assets

Ordinary Income / { (Total Assets at Beginning of FP + Total Assets at End of FP) / 2 } x 100

Return on Capital

Net Income / { (Net Assets at Beginning of FP + Net Assets at End of FP) / 2 } x 100

Capital Ratio

Net Assets at End of FP / Total Assets at End of FP x 100

Distribution Payout Ratio

DPU excl. distribution in excess of earnings / Net Income x 100

Rental NOI

Rental Revenue for renewable energy power generation facilities – Rental Expenses for renewable energy power
generation facilities + Depreciation Expenses

FFO

Net Income + Depreciation Expenses + Profit from sales of renewable energy power generation facilities

FFO per unit

FFO / The number of total issued units

Interest-bearing Liabilities Ratio

Interest-bearing Liabilities / Total Assets x 100(Note 4) Deductible amount for unitholders’ capital is deducted from the gross amount of unitholders’ capital.

18

a. Brief History of Canadian Solar Infrastructure Fund
Canadian Solar Infrastructure Fund, Inc. (hereinafter referred to as “CSIF”) was established on May 18, 2017 with money invested of 150
million yen (1,500 units) by Canadian Solar Asset Management K.K. (hereafter referred to as the “Asset Manager”) as the founder under the
Act on Investment Trusts and Investment Corporations (Act No. 198 of 1951 including subsequent amendments; hereinafter referred to as
the “Investment Trusts Act”). Registration with the Kanto Local Finance Bureau was completed on June 9, 2017 (registration number 127,
filed with the Director of the Kanto Local Finance Bureau).
CSIF issued additional investment units (177,800 units) through a public offering on October 27, 2017, listed its investment units on Tokyo
Stock Exchange Inc.’s (hereinafter referred to as the “Tokyo Stock Exchange”) Infrastructure Fund Market on October 30, 2017 (security
code: 9284), and issued new investment units (2,890 units) through third-party allotment on November 28, 2017.
In addition, CSIF issued new investment units (46,667 units) through public offering on September 5, 2018 and issued new investment
units (2,333 units) through third-party allotment on October 4, 2018.
CSIF then issued new investment units (151,500 units) through public offering on March 5, 2021 and issued new investment units (3,966
units) through third-party allotment on April 7, 2021.
As a result of the above, the total units issued at the end of the fiscal period under review (as of December 31, 2022) were 386,656 units.
CSIF then issued new investment units (62,000 units) through public offering on July 18, 2023 and 3,100 units through a third-party
allotment on August 10, 2023. As a result of the above, the total units issued as of the date of this document are 451,756 units.
b. Investment Environment and management performance for the fiscal period under review
Regarding the Japanese economy during the fiscal period under review, the second preliminary estimate of the real GDP growth rate inJanuary-March 2023 was up 2.7% quarter on quarter, reflecting robust domestic demand, including private consumption and capital
investment. In light of the GDP as of July 31, 2023, SMBC Nikko Securities Inc. expects real GDP in April - Jun 2023 to grow 0.6% quarteron quarter (or up 2.6% on an annualized basis) and 1.4% year on year in fiscal years 2023 and 1.2% in fiscal years 2024, respectively. The
Japanese economy is expected to be on solid path to recovery for the year, given for the following factors: normalization of mainly
automobile- and travel-related consumption, convergence of inflation, increase in wages, commerce and other domestic factors as well as
overseas factors such as improvement in terms of trade.
The Russian invasion of Ukraine triggered a global price surge in energy resources in 2022. In addition, the yen depreciated sharply,
severely impacting the Japanese economy. Although constraints on energy supply have been continuing, mainly because of the prolonged
invasion, the economy is currently calm, with a peaking of both the crude oil price and the U.S. dollar-yen exchange rate.
Looking at the monetary policies of Japan and the United States, the banking crisis in the U.S. triggered by the collapse of Silicon Valley
Bank has eased. Currently, the risk of an economic downturn is seen as low, as banks’ loans/deposits are stable, losses on valuation of
securities have contracted, and bank stock prices have almost factored in losses on devaluation. Regarding the monetary policy of the Bankof Japan, it indicated in April 2023 that its outlook on the inflation rate for fiscal year 2025 was less than 2%, it announced the policy
modification to expand the band for the long-term interest rate at the monetary policy meeting to be held on July 27-28. It would give greater
flexibility in yield curve control (YCC) with an eye on the recent strong prices and also while maintaining the long-term interest rate leveltargeted at 0.5%, the widened fluctuation range between 0.5% and 1.0% suggests acceptance.
Meanwhile, during the fiscal period under review, conditions in the market for listed infrastructure funds were such that investment
corporations maintained relatively stable operations even in the economic environment described above. The TSE Infrastructure Fund Index
remained stable in the first half of 2023, as in 2022, while the Nikkei Stock Average and TOPIX rose sharply since April during the same
period. On March 22, it hit the lowest level during the period at 1,139.41. After that, it soared to reach the high of 1,180.23 on May 17. It
ended the fiscal period at 1,146.63 on June 30. It fluctuated within a relatively narrow range during the period.
“Output curtailment,” which is implemented by an electricity transmission and distribution business operator (Note 1) to adjust the supplydemand balance, was implemented in the jurisdiction of Kyushu Electric Power with respect to renewable energy power generation facilities(Note 2) owned by CSIF, for 6 days in January, 10 days in February, 23 days in March, 22 days in April, 24 days in May and 8 days in June,
totaling 93 days during the period under review. This was much more frequent compared to the same period of the previous year. Primaryreasons for this result are considered to include a decrease in power demand, which reflected heightened energy saving awareness on theback of surging energy prices caused by Russia’s invasion of Ukraine, despite continuously increasing electricity supply provided byexpanded photovoltaic power generation facilities in the Kyushu Electric Power jurisdiction, and the fact that all the nuclear power plants inthe said jurisdiction went into operation in the same period. Although projected amounts of loss in variable rents (Note 3) were suppresseduntil the previous period, partly attributable to the effect of the transition to online output curtailment framework, output curtailment exceeding
the said effect occurred in the fiscal period under review. Areas for output curtailment in renewable energy sources have been steadily
expanding, and output curtailment has been implemented in all areas excluding the jurisdiction of Tokyo Electric Power with thecommencement of output curtailment in Kansai Electric Power in June 2023. Outside the Kyushu Electric Power jurisdiction, although thenumber of days when output curtailment was implemented at renewable power generation facilities owned by CSIF was only one day in the
Chugoku Electric Power jurisdiction in July - December 2022, the number of such days have increased in the jurisdictions of Chugoku
Electric Power, Tohoku Electric Power and Chubu Electric Power and we consider it necessary to continuously monitor relevant
developments in the future. However, we consider that the effect of output curtailment on our revenue for the current fiscal period (until
March 31, 2024) will be limited, because most of the power plants held by CSIF in the Kyushu Electric Power jurisdiction are under the oldrule (30-day rule) (Note 4) and because the number of days when output curtailment was implemented in the said jurisdiction since April thisyear has already exceeded 20 days.
The 6th Strategic Energy Plan approved by the Cabinet in October 2021 had two key themes: to indicate the direction of energy policies
for the achievement of carbon neutrality by 2050 (declared in October 2020), the new target of a 46% reduction in greenhouse gas
emissions by fiscal year 2030 and a further reduction of as high as 50% (declared in April 2021) (Note 5); and to overcome issues in Japan’s
energy supply-and-demand structure (Note 5). Furthermore, in connection with the second theme, it states that, on the premise that safety
be guaranteed first and foremost, Japan will strive to ensure a stable energy supply and reduced costs (S+3E) while pursuing measures to
respond to climate change (Note 5).
The ambitious new power-source composition for 2030 would be 36-38% for renewable energy (up from 22-24% in the previous projectedmix), approximately 1% for hydrogen and ammonia (up from nearly 0%), 20-22% for nuclear power (unchanged), around 20% for LNG(down from 27%), around 19% for coal (down from 26%) and approximately 2% for oil (down from 3%). The renewable energy mix would bearound 14-16% for solar power, around 5% for wind power, approximately 1% for geothermal power, nearly 11% for hydroelectric power andaround 5% for biomass (Note 5).

19

Ⅰ. Asset Management Report
In April 2022, the 2020 revision of the Act on Special Measures Concerning Promotion of Utilization of Electricity from Renewable Energy
Sources came into force to introduce a system for reserving funds for the future discarding and other disposal of solar power generation
facilities (Note 6). First, this system is applicable for all solar power generation projects with an output of 10 kW or more approved for a feedin tariff (FIT) or feed-in premium (FIP) scheme, including projects with multiple solar power generation facilities. Second, this system obliges
the approved operators to, in principle, externally reserve funds for disposal at the Organization for Cross-regional Coordination ofTransmission Operators, Japan through direct withholding of the required amounts from revenue. However, in exceptional cases, internal
reserve will be permitted provided certain requirements are satisfied, and listed infrastructure funds will also be permitted to opt for internal
reserve upon satisfying certain conditions such as recording funds in their financial statements in an appropriate manner.
After an extended review, policies for introducing generation-side charges were established, and a detailed policy design was published in
April 2023 in the Interim Report on the Introduction of Generation-side Charges compiled by the Specialized Meeting for Policy Design ofElectricity and Gas Market Surveillance Commission. The said report stated that, while all power sources that are connected to the grid andsupply electricity at the same time are basically billable, the subcommittee for the large-scale introduction of renewable energy and next
generation electricity network confirmed that points were summarized as follows: (1) FIT- and FIP-approved power sources will be subject togeneration-side charges after the end of their FIT or FIP term; (2) Consideration will be given when purchase prices, etc. are calculated for
newly approved FIT- or FIP- sources; (3) Operators of non-FIT sources and those which have ceased to be under the FIT scheme will be
encouraged to take some creative measures (bilateral contracts, etc.) and to smoothly incorporate generation-side charges into selling
prices; and (4) For pumped storage power generation and storage batteries, charges based on kilowatts alone be levied and those based on
kilowatt-hours be exempted, given that financial burdens would be heavier than those on other power sources.
Under these conditions, CSIF did not acquire any new assets nor sell any of the assets it owns during the fiscal period under review. Its
portfolio consisted of 25 facilities (with a total panel output (Note 7) of 183.9 MW, a total acquisition price (Note 8) of ¥80,000 million, and a
total price (Note 9) of ¥74,870 million as of the end of the fiscal period under review. On July 19, 2023, CSIF acquired five new facilities andits portfolio consisted of 30 facilities (with a total panel output of 225.3 MW, a total acquisition price of ¥96,780 million, and a total price of¥91,990 million) as of the date of this document. As the mid-term objective of a ¥100,000 million asset price has almost been achieved, we
set a new mid-term objective of ¥200,000 million.
(Note 1) For the purposes of this report, the term “electricity transmission and distribution business operator” collectively refers to a general electricity transmission anddistribution business operator (refers to a “general electricity transmission and distribution business operator” defined in Article 2, Paragraph 1, Item 9 of theElectricity Business Act (Act No. 170 of 1964; including subsequent amendments; hereinafter referred to as the “Electricity Business Act”) and specified
electricity transmission and distribution business operator (refers to “specified electricity transmission and distribution business operator” defined in Article 2,
Paragraph 1, Item 13 of the Electricity Business Act).
(Note 2) For the purposes of this report, the term “renewable energy power generation facilities” refers to renewable energy power generation facilities (excluding facilities
falling under the category of real estate) defined in Article 2, Paragraph 2 of the Act on Special Measures Concerning Promotion of Utilization of Electricity from
Renewable Energy Sources (Act No. 108 of 2011, including subsequent amendments; hereinafter referred to as the “Renewable Energy Special Measures Act.”The Renewable Energy Special Measures Act before amendment based on the Act for Partial Amendment of the Act on Special Measures Concerning
Procurement of Electricity from Renewable Energy Sources by Electricity Utilities (Act No. 59 of 2016) is referred to as the “2016 Renewable Energy Special
Measures Act” and the Renewable Energy Special Measures Act after amendment based on the Act to Partially Amend the Electricity Business Act and Other
Acts in Order to Establish a Resilient and Sustainable Electricity Supply System (Act No. 49 of 2020) is referred to as the “2020 Renewable Energy Special
Measures Act.”) For the purposes of this report, “renewable energy generation facilities, etc.” refers collectively to renewable energy generation facilities, andreal estate, real estate leases (includes subleases) and land lease rights (hereinafter referred to as the “site, etc.”) necessary to install maintain and operate
renewable, energy generation facilities. Hereinafter, any mention of “renewable energy power generation facilities” or “renewable energy power generation
facilities, etc.” which CSIF is said to have invested in or acquired or operate shall also cover “renewable energy power generation facilities” and “renewableenergy power generation facilities, etc.” that support CSIF’s assets under management. The same shall apply hereunder. Renewable energy may also
hereinafter sometimes be referred to as “renewables.”(Note 3) Projected amount of loss in variable rent means total performance co-varying rent lost in the day when output curtailment is implemented at individual power
plants in CSIF’s portfolio subject to output curtailment. Projected amount of loss in variable rent in the day when each output curtailment is implemented at
individual power plants in CSIF’s portfolio is calculated using the following formula:
Projected amount of loss in variable rent = Forecast Power Generation (P50) at the said power plants in CSIF’s portfolio in the month that includes the said day /number of days in the said month × 30% × purchase priceFor a definition of “energy output value projected by professional specialists (P50)” in the context of this report, please refer to
the Note for (2) Overview of the Fiscal Period under Review d. Overview of Business Performance and Distribution(Note 4) Even when a grid-connected business operator has implemented the preventive measures defined in the Ordinance for Enforcement of the Act on Special
Measures Concerning the Promotion of the Use of Renewable Energy Electricity (METI Ordinance No. 46 of 2012, including subsequent amendments), if theamount of electricity supplied by grid-connected business operators is expected to exceed demand, output curtailment without compensation under theconnection agreement may be required. The rule setting the maximum number of days of such output curtailment at 30 days a year (360 hours a year in somecases) is referred to as the “30-day rule” (the rule when the maximum duration is 360 hours a year is referred to as the “360-hour rule”) and the 30-day rule andthe 360-hour rule are referred to collectively as the “old rule.” The same shall apply hereunder.
(Note 5) All the above information is based on the “Outline of the Basic Energy Plan” published by the Agency for Natural Resources and Energy in October 2021.
(Note 6) The term “photovoltaic power generation facilities” refers to renewable energy power generation facilities that generate electricity using sunlight as an energy
source. The same shall apply hereunder. The term “photovoltaic power generation facilities” refers to photovoltaic power generation facilities as well as their site,
etc. The same shall apply hereunder.
(Note 7) “Panel output” shall mean output calculated by multiplying rated output per solar cell module (meaning the maximum output stated in specifications of solar cell
module) used in each solar energy facility by the total number of panels. “Total panel output” shall mean the total panel output rounded off to one decimal place.
The same shall apply hereunder.
(Note 8) The term “acquisition price” represents transaction price (excluding remuneration for business outsourcing concerning the acquisition of assets and otheracquisition costs, property taxes, city planning taxes, amount equivalent to consumption taxes, etc. and other commissions, etc.; the same shall apply
hereunder) specified in the sales agreement for each asset held. The term “total acquisition price” is total of the transaction prices specified in the sales
agreements for all the assets held rounded down to the nearest ten million yen. The same shall apply hereunder.
(Note 9) “Appraisal value of power plant” means (1) the median calculated by CSIF based on the appraisal values of a power plant shown in valuation reports with thedate of value opinion on June 30, 2023 (July 1, 2023 for five facilities acquired on July 19, 2023) from PricewaterhouseCoopers Sustainability LLC or Kroll
International Inc. to whom appraisal of the power plant consisting of a photovoltaic system and land on which such system is installed was entrusted by CSIF or(2) the median of the business value of the power plant shown in valuation reports. For “total price”, total amount of appraisal values of a power plant is shown.

c. Overview of Financing
In the fiscal period under review, CSIF has not raisen any additional funds, including the issuance of new investment units, borrowing offunds, and issuance of investment corporation bonds. However, during the fiscal period under review, CSIF made a contractual repayment of¥1,144 million at the end of the fiscal period under review, bringing the total amount of interest-bearing debt as of the end of the fiscal period
under review to ¥36,543 million (amount of borrowings ¥31,643 million and amount of investment corporation bonds ¥4,900 million).
Consequently, the ratio of interest- bearing debt to total assets (ratio of interest-bearing debt to total assets at the end of fiscal period) was
47.9%.
As of the date of this document, CSIF received a bond rating for investment corporation bonds from the following rating agency.
Rating status of CSIF as of the date of this document
Rating Agency

Rating Subject

RatingRating Outlook

A

－

A

－

The 1st Unsecured Investment Corporation Bond (Specified
investment corporation bonds with limited inter-bond paripassu clause and for qualified institutional investors only)
Japan Credit Rating
Agency, Ltd. (JCR)

The 1st Unsecured Investment Corporation Bond
(Specified investment corporation bonds with limited interbond pari passu clause)(Green bonds)

CSIF received a credit rating from the following rating agency.
Rating status of CSIF as of the date of this document
Rating Agency

Rating Subject

Rating and Investment
Information, Inc. (R&I)
Japan Credit Rating Agency,
Ltd. (JCR)

RatingRating Outlook

A-

PositiveA

StableLong-term Issuer Ratingd. Overview of Business Performance and Distribution
As a result of the management described above, the business results in the fiscal period under review included operating revenue of¥3,452 million, operating income of ¥1,156, ordinary income of ¥1,003, and net income of ¥1,003 million.
With respect to distributions, the cash distribution policy set out in Article 47, Paragraph 1 of the Articles of Incorporation of the Investment
Corporation stipulates that the amount of distributions shall exceed the amount equivalent to 90% of “profit available for distribution” asprovided for in Article 67-15 of the Act on Special Measures Concerning Taxation (Act No. 26 of 1957 including subsequent amendments,
hereinafter the “Special Measures Taxation Act”).
In addition, distributions in excess of earnings are calculated on the premise that such distributions will generally be made in accordancewith the cash distribution policy prescribed in CSIF’s Articles of Incorporation and the Asset Manager’s asset management guidelines
formulated as part of its internal regulations.
CSIF intends to make cash distributions to its unitholders for each fiscal period from free cash flow (hereinafter referred to as “FCF”)
generated by its renewable energy power generation facilities, in amounts determined in the following manner. The amount available for
distribution shall be calculated by multiplying FCF, that is net cash flow (hereinafter referred to as “NCF”; CSIF shall incorporate the total
amount of NCF remaining after deducting distributions for the preceding fiscal periods in calculating NCF) to be vested to equity investors
after deducting FCF payable to debt investors, by a certain ratio (hereinafter referred to as “payout ratio”; the payout ratio for the 12th fiscal
period is 76.4%) determined by CSIF in light of the amount of NCF for each fiscal period.
At the same time, CSIF intends to maintain a stable level of distributions for the time being. In determining the payout ratio describedabove, CSIF will consider the forecast NCF for each fiscal period to realize that level of distributions.
In addition to a cash distribution within the range of profit, CSIF intends to make distributions in excess of earnings for each fiscal period
on a continuous basis in order to realize this policy.
In developing its performance forecast (including any revisions thereof) for each fiscal period, in the case where NCF calculated from
actual energy output in a fiscal period (hereinafter referred to as “actual NCF”; CSIF shall incorporate the total amount of NCF remaining
after deducting distributions for the preceding fiscal periods in calculating actual NCF) exceeds NCF projected for the fiscal period(hereinafter referred to as “projected NCF”; CSIF shall incorporate the total amount of NCF remaining after deducting distributions for thepreceding fiscal periods in calculating projected NCF) on the basis of an energy output value projected by professional specialists (P50)(Note) which forms the foundation for the calculation of rents with regard to the renewable energy power generation facilities, CSIF intends tolimit the cash distribution to the amount of projected NCF multiplied by the payout ratio for said fiscal period.
On the other hand, in the case where actual NCF is equal to or below projected NCF, CSIF intends to make a cash distribution for the
fiscal period at the amount of actual NCF multiplied by the payout ratio.
Based on the above policy, CSIF decided to make a distribution for the fiscal period under review of ¥1,449,960,000, equivalent to 76.4%
of projected NCF for the period of ¥1,898,513,782. Dividend per investment unit is ¥3,750 for the fiscal period under review.
(Note) Projected energy output (P50) represents the output that is viewed to be achievable with a 50% probability by the third-party providers of the technical reports andother experts. The same applies hereinafter.

20

21

Ⅰ. Asset Management Report(3) Summary of Public Offering etc.
Date

Event

(4) Historical Distributions

Total number of investment units
issued and outstanding (units)
ChangeMay 18, 2017
October 27, 2017
November 28, 2017
September 5, 2018
September 14, 2018
October 4, 2018
March 14, 2019
September 17, 2019
March 17, 2020
September 15, 2020

Establishment upon private
placement
Capital increase by public
offering
Capital increase by thirdparty allotment
Capital increase by public
offering
Cash distribution in excessof earnings (refund ofinvestment)
Capital increase by thirdparty allotment
Cash distribution in excessof earnings (refund ofinvestment)
Cash distribution in excessof earnings (refund ofinvestment)
Cash distribution in excessof earnings (refund ofinvestment)
Cash distribution in excessof earnings (refund ofinvestment)

Balance

Total amount of unitholders' capital(Note 1) (million yen)
ChangeRemarks

Balance

1,500

1,500

150

150

(Note 2)

177,800

179,300

16,891

17,041(Note 3)2,890

182,190274

17,315(Note 4)

46,667

228,857

4,509

21,824(Note 5)－

228,857(147)

21,677(Note 6)2,333

231,190

225

21,902

11th FP

12th FP

Fr. Jan. 1, 2021
To Jun. 30, 2021

Fr. Jul. 1, 2021
To Dec. 31, 2021

Fr. Jan. 1, 2022
To Jun. 30, 2022

Fr. Jul. 1, 2022
To Dec. 31, 2022

Fr. Jan. 1, 2023
To Jun. 30, 2023

1,073,432

1,122,287

1,509,284

1,213,566

1,003,421

Retained Earnings (in JPY thousand)Total Distribution (in JPY thousand)

75

211

165

239

49

1,430,627

1,449,960

1,509,118

1,449,960

1,449,960(DPU, in JPY)

(3,700)(3,750)(3,903)(3,750)（3,750）1,073,357

1,122,075

1,509,118

1,213,326

1,003,372(2,776)(2,902)(3,903)(3,138)（2,595）357,270

327,884－

236,633

446,587(Distribution in Excess of Earnings per Unit, in
JPY)

(924)

(848)

(－)

(612)

（1,155）Distribution from Allowance for Adjustment for
Temporary Difference out of Distribution in Excessof Earnings (in JPY thousand)

－

－

－

－

－

(Distribution from Allowance for Adjustment for
Temporary Difference per Unit out of Distribution in
Excess of Earnings per Unit, in JPY)

(－)

(－)

(－)

(－)

（－）

357,270

327,884－

236,633

446,587

(924)

(848)

(－)

(612)

（1,155）－

231,190(420)

21,482(Note 8)－231,190(133)

21,349(Note 9)－231,190(309)

21,039(Note 10)－

231,190(163)

20,876(Note 11)

18,10638,982(Note 12)

March 16, 2021

Cash distribution in excessof earnings (refund ofinvestment)－

382,690(138)

38,843(Note 13)

April 7, 2021

Capital increase by thirdparty allotment

3,966

386,656474

39,317(Note 14)-386,656(357)

38,960(Note 15)-

386,656(327)

38,632(Note 16)-

386,656(236)

38,396(Note 17)

(Note 1) The amount of deduction of total amount of unitholders’ capital is deducted.
(Note 2) In the establishment of the CSIF, the investment units were issued at an issue price of ¥100,000 per unit. The party who applied for subscription of investment units upon
the establishment is Canadian Solar Projects K.K.
(Note 3) New investment units were issued by public offering for the purpose of raising funds for the acquisition of specified assets at an issue price of ¥100,000 (issue value of¥95,000) per unit.
(Note 4) New investment units were issued to Mizuho Securities Co., Ltd. by third-party allotment at an issue value of ¥95,000 per unit for the purpose of appropriation to a part of
the funds for acquisition of specified assets or part of repayment of borrowings.
(Note 5) New investment units were issued by public offering for the purpose of raising funds for the acquisition of specified assets at an issue price of ¥102,180 (issue value of¥96,625) per unit.
(Note 6) CSIF decided, at a meeting of its Board of Directors held on August 14, 2018, to pay a cash distribution in excess of earnings (refund of investment) in an amount of ¥808
per unit for the second fiscal period (ended June 30, 2018), and began to pay it from September 14, 2018.
(Note 7) New investment units were issued to Mizuho Securities Co., Ltd. by third-party allotment at an issue price of ¥96,625 per unit for the purpose of appropriation to a part of
the funds for acquisition of specified assets or a part of the funds for repayment of borrowings.
(Note 8) CSIF decided, at a meeting of its Board of Directors held on February 15, 2019, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥1,817 per unit for the third fiscal period (ended December 31, 2018), and began to pay it from March 14, 2019.
(Note 9) CSIF decided, at a meeting of its Board of Directors held on August 13, 2019, to pay a cash distribution in excess of earnings (refund of investment) in an amount of ¥577
per unit for the forth fiscal period (ended June 30, 2019), and began to pay it from September 17, 2019.
(Note 10) CSIF decided, at a meeting of its Board of Directors held on February 13, 2020, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥1,340 per unit for the fifth fiscal period (ended December 31, 2019), and began to pay it from March 17, 2020.
(Note 11) CSIF decided, at a meeting of its Board of Directors held on August 14, 2020, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥708 per unit for the sixth fiscal period (ended June 30, 2020), and began to pay it from September 15, 2020.
(Note 12) New investment units were issued by public offering for the purpose of raising funds for the acquisition of specified assets at an issue price of ¥125,115 (issue value of¥119,517) per unit.
(Note 13) CSIF decided, at a meeting of its Board of Directors held on February 17, 2021, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥601 per unit for the seventh fiscal period (ended December 31, 2020), and began to pay it from March 16, 2021.
(Note 14) New investment units were issued to Mizuho Securities Co., Ltd. by third-party allotment at an issue value of ¥119,517 per unit for the purpose of appropriation to a partof the funds for acquisition of specified assets or part of repayment of borrowings.
(Note 15) CSIF decided, at a meeting of its Board of Directors held on August 13, 2021, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥924 per unit for the eighth fiscal period (ended June 30, 2021), and began to pay it from September 15, 2021.
(Note 16) CSIF decided, at a meeting of its Board of Directors held on February 14, 2022, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥848 per unit for the ninth fiscal period (ended December 31, 2021), and began to pay it from March 15, 2022.
(Note 17) CSIF decided, at a meeting of its Board of Directors held on February 15, 2023, to pay a cash distribution in excess of earnings (refund of investment) in an amount of¥612 per unit for the eleventh fiscal period (ended December 31, 2022), and began to pay it from March 14, 2023.

22

10th FP(Distribution for Profit per Unit, in JPY)

382,690

March 14, 2023

9th FP

Distribution in Excess of Earnings (in JPY
thousand)

151,500

March 15, 2022

Unappropriated Earnings or Undisposed Losses(in JPY thousand)8th FP(Note 7)

Capital increase by public
offering

Cash distribution in excessof earnings (refund ofinvestment)
Cash distribution in excessof earnings (refund ofinvestment)
Cash distribution in excessof earnings (refund ofinvestment)l Period

Distribution for Profit (in JPY thousand)March 5, 2021

September 15, 2021

Based on the unappropriated earnings of JPY 1,003 million for the 12th FP, excluding fractions of the distribution per unit that are less than
JPY 1, JPY 1,003 million is the distribution for profit, and JPY 446 million is the distribution in excess of earnings as the distribution as
Redemption of Capital based on Tax Law. As a result, JPY 3,750 is the DPU for the period.

Distribution as Redemption of Capital based on
Tax Law (in JPY thousand)(Distribution as Redemption of Capital based on
Tax Law, in JPY)

(Note) The fund had made distribution in excess of earnings every FP based on its article 47.2. Based on this policy, JPY 446 mln which is 30.7% of the depreciation expenses,
JPY 1,454 mln, is to be distributed as the distribution in excess of earnings (Distribution as Redemption of Capital based on Tax Law). As a result, JPY 3,750 is DPU for the
12th FP.

(5) Operational Policy and Agendas in the Futurea. Outlook for the Future Management
Considering the economic outlook in Japan during the second half of 2023, overcoming the pandemic caused by COVID-19, economic
activity has resumed. Meanwhile, both the global surge in prices for energy resources caused by Russia’s invasion of Ukraine and theworldwide increase of interest rates are currently calming down. Since they are both thought to significantly impact the Japanese economy, it
is necessary to continue monitoring them.
With respect to the environment surrounding photovoltaic power generation facilities that are included in renewable energy power
generation facilities, the 6th Basic Energy Plan states that a crucial part of energy policies for 2030 (Note 1) is to ensure, with “S+3E” as thebasic premise, that renewables become a major power source and to focus on renewables as an overriding principle, encouraging maximum
adoption whilst reducing the impact on Japanese people and seeking co-existence with local communities (Note 1), and the 2030 energy mix
also indicates an increase in the share of renewables, setting ambitious forecasts.
However, as stated in “((2) Overview of the Fiscal Period under Review) b. Investment Environment and Management Performance for
the Fiscal Period Under Review” above, the output curtailment that requires renewable energy power generation operators to temporarilysuspend power generation through photovoltaic power generation facilities, etc. was resumed in areas under the jurisdiction of Kyushu
Electric Power from October 2019. In addition, some output curtailments were introduced in the Tohoku Electric Power, Chugoku ElectricPower and Shikoku Electric Power jurisdictions in April 2022 and in the Hokkaido Electric Power jurisdiction in May 2022. And also the
Okinawa Electric Power, in January 2023 and the Chubu Electric Power the Hokuriku Electric Power in April 2023, the Kansai Electric Powerin June 2023 have started. It was also announced that 10-500 kW commercial solar photovoltaic systems connected to the grid under the oldrule, which were previously not subject to output curtailment, will also become subject to output curtailment. Furthermore, at a meeting of the
Subcommittee on Mass Introduction of Renewable Energy and Next-Generation Electricity Networks held on December 24, 2021, the ideathat lowering the minimum output of thermal power generation facilities would be an effective way to reduce the output curtailment of
renewables was put forward. Subsequently, at the meeting held on May 29, 2023 of “The Subcommittee on New Energy of the Sectional
Meeting on Energy Saving and New Energy under the Advisory Committee for Natural Resources and Energy; and the Working Group on
the Grid of the Basic Policy Subcommittee on Electricity and Gas of the Sectional Meeting on Electricity and Gas Business” and the meeting
held on June 21, 2023 of “The Sectional Meeting on Energy Saving and New Energy under the Advisory Committee for Natural Resources
and Energy; and the Subcommittee on Mass Introduction of Renewable Energy and Next-Generation Electricity Networks,” expert
discussions were held under the basic policy of scaling back output curtailment of renewable energy. Through extensive discussions on
potential initiatives in supply, demand and the grid, respectively, a new package of measures for the reduction of renewable energy output
curtailment will be compiled by the end of 2023. Accordingly, the implementation of output curtailment is expected to be better controlled in
the future compared to this year.
As mentioned in b. Investment Environment and management performance for the fiscal period under review in (2) Overview of the Fiscal
Period under Review above, discussions are underway regarding the exemption of FIT- or FIP- approved power sources from generationside charges during their FIT or FIP term. This means that it would no longer be necessary to take into account the negative impact, which
was expected to be imposed on CSIF’s management on performance in and after 2024.
As stated in “((2) Overview of the Fiscal Period under Review) b. Investment Environment and Management Performance for the Fiscal

23

Ⅰ. Asset Management Report
Period Under Review” above, the 2020 Amendment to the Renewable Energy Special Measures Act was enacted in April 2022. Under thisact, various measures such as the FIP system, system for nullifying approvals and reserve of decommissioning costs for solar power
generation facilities were introduced.
(Note 1) All the above information is based on the “Outline of the Basic Energy Plan” published by the Agency for Natural Resources and Energy in October 2021.

b. Future Management Policy(i) External Growth Strategy
The Canadian Solar Group (Note 1), which is the Sponsor belongs, adopts the vertical integration model (Note 2) that has developed
mainly in the photovoltaic power generation market in Europe and America and applies this model in the global market, including Japan.
CSIF considers that mutual cooperation between the Group and CSIF (engaging in investment in and management of photovoltaic power
generation facilities) through the Sponsor Group (Note 4) based on the vertical integration model for the construction of the value chain (Note5) with the aim of creating mutual value should lead to the enhancement of value for unitholders.
Specifically, CSIF intends to acquire promising solar power generation facilities developed by the Sponsor Group to increase assets
utilizing the preferential trading negotiation right granted by the Sponsor Group.
Further, CSIF will strive to diversify acquisition routes, including acquiring assets from third parties through the Asset Manager’s own
network, whilst at the same time putting emphasis on acquisitions from the Sponsor. Moreover, CSIF will aim for further external growththrough the use of diverse acquisition methods, including acquiring assets via the Japan Green Infrastructure Fund, which was establishedby The Canadian Solar Group and invests in renewable energy power generation facilities, etc. in Japan, and the bridge fund, in addition to
direct acquisitions from sellers.
As a recent move toward CSIF’s growth in the future, the transfer of CS Azuma Kofuji Solar Power Plant, which was the sponsor’s largest
development project (100MW) in Japan and was among Japan’s largest projects, to the bridge fund was completed on May 31, 2023. The
Asset Manager has preferential negotiation rights to purchase the said power plant for future acquisition by CSIF.
(Note 1) The “Canadian Solar Group” refers to the consolidated corporate group with Canadian Solar Inc. (headquartered in Canada) at the top to which the Sponsor(Canadian Solar Projects K.K.) belongs. The same shall apply hereunder.
(Note 2) The term “vertically integrated model” means a business model where a broad spectrum of business domains across the photovoltaic market, ranging from theplanning, manufacture and sales of solar modules to the provision of EPC and O&M (Note 3) services, are vertically integrated. The same shall apply hereunder.
(Note 3) “O&M” is an abbreviation of Operation & Maintenance. The same shall apply hereunder.
(Note 4) The “Sponsor Group” collectively refers to (i) the Sponsor (Canadian Solar Projects K.K.), (ii) special purpose companies (they may be hereinafter referred to as“SPCs”), partnerships or other funds with which the Sponsor has entered into the asset management service agreement, (iii) Canadian Solar O&M Japan K.K. (itmay be hereinafter referred to as “CSOM Japan”) and (iv) special purpose companies, partnerships or other funds in which the Sponsor or its subsidiary own amajority interest. The same shall apply hereunder.
(Note 5) The term “value chain” generally refers to a relationship between processes such that value is added cumulatively to products and services with each process.

(ii) Internal Growth Strategy
In circumstances where domestic power consumers are increasingly required to participate in decarbonization initiatives around the world,
CSIF started a new approach in September 2022 to grant to power consumers tracking information (information regarding renewable energy
power plants attached to FIT Non-Fossil Certificate (Note 1)) for CS Daisen-cho Power Plant (A), CS Daisen-cho Power Plant (B) and CS
Marumori-machi Power Plant. The initiative aims to satisfy power consumers’ need to achieve RE100 (Renewable Energy 100%) and has
achieved the receipt of ¥0.2/kWh in addition to CSIF’s FIT unit price. Moreover, agreements on the specified wholesale supply of renewableenergy were concluded with electricity retailers regarding CS Hiji-machi Dai-ni Power Plant in April 2023, and CS Mashiki-machi Power
Plant, CS Izu-shi Power Plant and CS Ōgawara-machi Power Plant in June 2023. As a result, CSIF was able to double the unit price to¥0.2/kWh in addition to CSIF’s FIT unit price.
By making the most of the strong operation and management abilities realized by utilizing the global monitoring platform of the Sponsor
Group in the early discovery and repair of failures of power generation facilities, CSIF will aim to reduce the loss of power generation. In
addition, CSIF will implement the appropriate repair and facilities replacement of assets under management to maintain and enhance thevalue of assets from the medium- to long-term perspective, thereby securing stable revenue in the medium to long term.
In response to the output curtailment implemented by Kyushu Electric Power described in b. Investment Environment and Management
Performance for the Fiscal Period Under Review in (2). Overview of the Fiscal Period under Review above, CSIF carried out the modificationof individual power plants in its portfolio to support online output curtailment (which refers to output curtailment of photovoltaic power
generation facilities with a remote output controller installed, the same applies below) as it did in the previous fiscal period. While all theCSIF-owned power plants in the area served by Kyushu Electric Power are subject to the 30-day rule for output curtailment, the above
modifications required for online output curtailment led to a shift from the previous all-day curtailment to hourly curtailment and opened theway for controlling the decrease in lease revenue due to a decline in energy output for reason of output curtailment. In addition, curtailment
within a day is counted as one day regardless of the duration, which allows the power plant to respond to output curtailment during peakdemand for electricity while complying with the 30-day rule. As a result of further progress shifting to the online output curtailment
arrangement, all photovoltaic power plants in Kyushu have shifted to online output curtailment. As a result, CSIF succeeded in reducing lostlease revenue due to curtailment compared with the same period of the previous year and this boosted operating revenue. In addition, CSIF
is currently gradually installing online output curtailment equipment at power plants outside the Kyushu region.
As part of its activities related to the Principles for Responsible Investment (UN PRI), the Asset Manager signed the UN PRI on August
13, 2019, and established the Approach to the Principles for Responsible Investment at the end of December 2020 as the basic ESG policyof the Asset Manager. Further, recognizing that climate change is an important environmental issue with potential risks and opportunities
when conducting business focused on the environmental pillar of ESG, we disclosed information about initiatives to address climate change
in line with the TCFD recommendations on February 14, 2022. On March 1, 2022, the Asset Manager established the Sustainability
Committee, which will be required to report to CSIF’s Board of Directors at least twice a year going forward. Meanwhile, CSIF established agreen finance framework (hereinafter referred to as the “Green Finance Framework”) for the financing of activities that will provide
environmental benefits, covering debt financing such as green bonds and green loans, and on May 11,2020, CSIF acquired the highest
green finance evaluation of Green 1(F) for the Green Finance Framework from Japan Credit Rating Agency, Ltd. (JCR), which is anindependent rating agency. Subsequently, CSIF revised the green finance framework as of June 30, 2023 so that the framework would be

24

applied to equity finance including the issuance of investment units at the time of offering investment units. The revised green financeframework acquired a third-party evaluation of Green1 (F) in Green Finance Framework Evaluation conducted by JCR.
Updated onJune 30, 2023

Evaluating Agency
Japan Credit Rating
Agency, Ltd. (JCR)

Evaluation
OverallGreen 1 (F)Greenness (use of proceeds)g 1 (F)Management, Operation and Transparency

m 1 (F)CSIF successively signed specified wholesale supplying agreements with Zero Watt Power Inc. for CS Izu-shi Power Plant, CS Ōgawaramachi Power Plant, CS Mashiki-machi Power Plant and CS Hiji-machi Dai-ni Power Plant. These plants are part of the assets owned by
CSIF. The agreements help these electricity retailers sell FIT electric power (Note 1) or electric power effectively derived from renewableenergy (Note 2). In addition, CSIF announced the Notice concerning the Conclusion of an Agreement Concerning the Granting of Tracking
Information on Solar Power Plants Owned by CSIF on September 29, 2022. As was mentioned there, CSIF signed a new agreement withpower consumer, unidentified under non-disclosure agreements with them, for the granting of information on renewable energy power plants(hereinafter referred to as “tracking information”) added to the FIT Non-Fossil Certificates for CS Daisen-cho Power Plant (A), CS Daisencho Power Plant (B) and CS Marumori-machi Power Plant. CSIF is thus taking actions towards decarbonization in response to the increasingneeds of power consumers for renewable energy. These actions also support the global RE100 initiative, which aims to make 100% of theenergy consumed in business activities renewable energy.
(Note 1) A FIT Non-Fossil Certificate is a certificate representing the renewable energy value of the electric power purchased under the FIT scheme that is traded on the
Non-Fossil Value Trading Market operated by Japan Electric Power Exchange (hereinafter referred to as “JPEX”).
(Note 2) Part of the expenses for procuring FIT electric power is covered by the FIT surcharges paid by power consumers. Electricity retailers need to inform of this toconsumers.
(Note 3) To present to consumers that the electric power they sell is effectively derived from renewable energy, electricity retailers must separately purchase non-fossil
certificates according to the energy output sold and use them.

(iii) Financial Strategy
To secure stable revenue and ensure the growth of the managed assets of CSIF, CSIF will consider financing by public offering,borrowings and other means in the acquisition of new assets, while watching changes in the financing environment closely.

(6) Facts arising after the settlement of accounts(i) Issuance of new investment units
The payment on July 18, 2023 for the issuance of new investment units through public offering and the payment on August 10, 2023 forthe new investment units to be issued through third-party allotment have been completed, that were resolved at the board of directors
meeting regarding the issuance of new investment units held on June 30, 2023, as follows. As a result, the total amount of unitholders’capital is 45,718,564 thousand yen, and the total number of investment units issued and outstanding is 451,756 units as of the date ofissuance of this statement.
(a) Issuance of new investment units through public offering
Number of investment units tobe offered
Issue Price (Offer Price)
Total Issue Price (Total Offer Price)Amount to be paid in (Issue Value)
Total amount to be paid in (Total Issue
Value)
Payment Date
Use of proceed

62,000 units
117,292 yen per unit
7,272,104,000 yen
112,480 yen per unit
6,973,760,000 yen
Tuesday, July 18, 2023
The net proceeds from the public offering were used for apart of the fund for the acquisition of specified assets
described in (iii) Acquisition of assets, as follows.

(b) New investment units to be issued through third-party allotment
Number of units to be issued
3,100 units
Amount to be paid in (Issue Value)
112,480 yen per unit
Total amount to be paid in (Total Issue
348,688,000 yen
Value)
AllotteeMizuho Securities Co., Ltd.
Payment dateThursday, August 10, 2023
The proceeds from the issuance of new investment units
Use of proceed
through the third-party allotment shall be reserved as
funds in hand to be allocated to a part of the fund for
acquiring the specified assets (as set forth in Article 2,
Paragraph 1 of the Act on Investment Trusts andInvestment Corporations), that satisfy the eligibility criteria
set forth in the Green Finance Framework formulated by
CSIF in the future or a part of the fund for repaying
existing loans.

25

Ⅰ. Asset Management Report(ii) Borrowing of funds
CSIF completed the borrowing of funds (hereinafter referred to as the “Borrowings”) on July 19, 2023, as followings. The funds from theBorrowings were used for a part of the fund for the acquisition of specified assets and other related costs described in (iii) Acquisition ofassets, as follows.
Type(Note 1)

Lenders

Syndicate of lenders
arranged by Sumitomo
Mitsui Banking
Corporation, Mizuho
Bank, Ltd. and SBILong-term Shinsei Bank, Limited
as arrangers and
MUFG Bank, Ltd. and
Sumitomo Mitsui Trust
Bank, Limited as coarranger
Syndicate of lenders
arranged by Sumitomo
Mitsui Banking
Corporation, Mizuho
Bank, Ltd. and SBILong-term Shinsei Bank, Limited
as arrangers and
MUFG Bank, Ltd. and
Sumitomo Mitsui Trust
Bank, Limited as coarranger

Sumitomo Mitsui
Banking Corporation,
Short-term Mizuho Bank, Ltd. and
SBI Shinsei Bank,
Limited

BorrowingAmount¥5,800
million(Note 5)¥5,800
million(Note 5)

¥1,100
million(Note 7)

Interest Rate
(Note 2)

Base rate plus
0.45% (Note 6)

Base rate plus
0.45% (Note 6)

Base rate plus
0.20% (Note 8)

Drawdown
Date

Borrowing
MethodMaturity
Date

Repayment
Method(Note 3)

Security /Guarantee(Note 4)

July 19,
2023

BorrowingThe
based onindividual
correspondi
term loanng date atagreements
10 years
entered intoon July 12,
from the2023 with thedrawdown
lenders listed
in the left
date
columnBalloon(Note 5)

unguaranteed

July 19,
2023

Borrowingbased onThe
individual
correspondi
term loanng date atagreements
10 years
entered intofrom theon July 12,2023 with the drawdown
datelenders listed
in the left
columnBalloon(Note 5)

unguaranteed

July 19,
2023

The earlier
Borrowingdate of (i)based onJuly 19,
individual
2024 or (ii)term loan
the first
agreementsinterest
entered into
payment
on July 12,date after
2023 with thethelenders listed
consumptioin the left
n tax refund
columndate

Bullet(iii) Acquisition of assets
CSIF acquired the following solar energy projects on July 19, 2023.
Asset number(Note 1)

Project nameAcquisition price (¥million)S-26

CS Fukuyama-shi Power Plant

Fukuyama-shi, Hiroshima

1,340

S-27

CS Shichikashukumachi Power Plant (Note 3)

Katta-gun, Miyagi

3,240

S-28
S-29

CS Kama-shi Power Plant
CS Miyako-machi Saigawa Power Plant (Note 4)

Kama-shi, Fukuoka
Miyako-gun, Fukuoka

586
5,780

S-30

CS Kasama-shi Dai-san Power Plant

Kasama-shi, Ibaraki

5,840

‐

16,786

Total

Unsecured,

Location(Note 2)

(Note 1) Asset numbers are assigned to the projects, based on the classification of the renewable energy power generation facility. “S” denotes a solar energy
project.
(Note 2) Based on the land or parcel of land upon which the solar energy facility is located, as described in the property registry. The address is described down
to the city or district level.
(Note 3) With respect to CS Shichikashuku-machi Power Plant, CSIF paid 345,173,638 yen, which is equivalent to the land rent after July 1, 2023, the first day on
which the income and expenses of the property vest in CSIF, to the seller in settlement of the amount paid as advance land rent under the agreement for
the establishment of surface rights to which the seller is a party, in addition to the anticipated acquisition price.
(Note 4) CS Miyako-machi Saigawa Power Plant is a solar power generation facility consisting of CS Miyako-machi No. 1 Power Plant, CS Miyako-machi No. 2
Power Plant, CS Miyako-machi No. 3 Power Plant, CS Miyako-machi No. 4 Power Plant, CS Miyako-machi No. 9 Power Plant and CS Miyako-machi No.
10 Power Plant, each of which is independently certified as a facility under the pre-revision Act of 2016 on Special Measures Concerning Procurement ofRenewable Energy Electricity by Electric Utilities Article 6, Paragraph 1 (Law No. 108 of 2011, including subsequent amendments) (hereinafter referred toas the "Renewable Energy Special Measures Act"), and is managed as a single solar energy facility.

Unsecured,

Unsecured,
unguaranteed(Note 1) “Long-term” refers to borrowings that have a period of over one year from the drawdown date to the maturity date and “Short-term” refers to borrowings that have aperiod of less than one year from the drawdown date to the maturity date.
(Note 2) Finance-related costs paid to the lenders are not included.
(Note 3) CSIF can make an early repayment during the period from the drawdown date to the maturity date of all or settlement date of CSIF, such as the total amount of interestbearing liabilities to the total asset value, debt-to-equity ratio and debt service coverage ratios as indicators to determine the ability of CSIF to repay the loan. Breachesof such covenants for 2 successive fiscal periods or an occurrence of an acceleration event could result in being required to grant security interests in favor of thelenders.
(Note 5) The first principal repayment date will be December 31, 2023, and subsequent principal repayment dates will be the last days of June and December (if a principal
repayment date is not a business day, then the payment will be made on the immediately succeeding business day; provided, however, that if such payment day falls
into the following month, then the payment will be made on the immediately preceding business day) and the remaining principal on the maturity date will be repaid in asingle installment (balloon amortization). The rate of capital redemption planned on December 31, 2023 is 2.90% of the Borrowing Amount if the loan takes the balloon
payment method.
(Note 6) The applicable base rate for each interest calculation period (being 3 months, excluding the first and last interest period) for the calculation of the interest payable on theinterest payment date will be the 3 month Japanese yen TIBOR (Tokyo Interbank Offered Rate) announced by the General Incorporated Association JBA (Japanese
Bankers Association) TIBOR Administration on the 2nd business day prior to the drawdown date for the first interest calculation period and on the 2nd business day
prior to the beginning of each relevant interest calculation period thereafter. The applicable base rate will be revised for each interest period. However, if acorresponding base rate is not available for an interest calculation period, the base rate will be calculated using the method agreed in the relevant loan agreement.
Fluctuations in JBA’s TIBOR can be checked at the General Incorporated Association JBA TIBOR Administration’s website (https://www.jbatibor.or.jp/rate/).
(Note 7) Bridge Loan for Consumption Tax Payment is used to pay consumption tax, and it is to be repaid by the tax refund. Borrowings of this nature are sometimes referred toas “Bridge Loan for Consumption Tax Payment.”(Note 8) The applicable base rate for each interest calculation period (being 1 month, excluding the first and last interest period) for the calculation of the interest payable on theinterest payment date will be the 1 month Japanese yen TIBOR (Tokyo Interbank Offered Rate) announced by the General Incorporated Association JBA (Japanese
Bankers Association) TIBOR Administration on the 2nd business day prior to the drawdown date for the first interest calculation period and on the 2nd business day
prior to the beginning of each relevant interest calculation period thereafter. The applicable base rate will be revised for each interest period. However, if acorresponding base rate is not available for an interest calculation period, the base rate will be calculated using the method agreed in the relevant loan agreement.
Fluctuations in JBA’s TIBOR can be checked at the General Incorporated Association JBA TIBOR Administration’s website (https://www.jbatibor.or.jp/rate/).

26

27

Ⅰ. Asset Management Report
2. Overview of Fund Corporation

3. Overview of Assets under Management(1) Summary of Invested Capital(1) Composition of Assets and Regional Diversification

Fiscal Period

8th FP

9th FP

10th FP

11th FP

12th FP

Jun. 30, 2021

Dec. 31, 2021

Jun. 30, 2022

Dec. 31, 2022

Dec. 31, 2023

The Number of Units Allowed for Issuance

10,000,000

10,000,000

10,000,000

10,000,000

10,000,000

Total Number of Units Issued

386,656

386,656

386,656

386,656

386,656

Unitholders’ Capital (net) (Note) (in JPY mln)

39,31738,96038,632

38,63238,396The Number of Unitholders

17,931

18,48818,48918,184

18,348(Note) Deductible amount for unitholders’ capital is deducted from the gross amount of unitholders’ capital.

(2) Major Unitholders List

Major unitholders as of June 30, 2023 are as follows.
Name

Ratio vs Total Number of Units Issued(%)

The Number of Units Held

Canadian Solar Project K.K.

56,620

14.64

THE BANK OF FUKUOKA LTD.

7,830

2.02

THE BANK OF NEW YORK MELLON

7,768

2.00

SSBTC CLIENT OMNIBUS ACCOUNT

7,249

1.87

JP MORGAN CHASE BANK 385650

5,576

1.44

Custody Bank of Japan, Ltd. (trust account)

5,265

1.36

THE BANK OF NEW YORK

5,264

1.36

The Master Trust Bank of Japan, Ltd. (trust account)

4,600

1.18

The Rokinren Bank

4,453

1.15

JP MORGAN CHASE BANK 380646

4,087

1.05

Total

108,712

28.11(Note) The ratio is rounded down to two decimal places.

(3) Summary of Executives

a.Executive Director, Supervisory Director and Accounting Auditor
Position
Executive Director

Name
Hiroshi Yanagisawa

Takashi Handa
Supervisory Director
Eriko Ishii
Accounting Auditor

Compensation(in JPY thousand)Concurrent Post
Representative director of Canadian Solar AssetManagement K.K.
Zuken Inc. (Audit and Supervisory board member)
Godo Kaisha Tokyo Prime Accounting Office(Representative)
Polaris Holdings Co., Ltd. (Outside Director)
Shin Saiwai Law Office (Partner, Attorney at law)
ITOCHU REIT Management Co., Ltd. (Compliance
Committee External Member)

Grant Thornton Taiyo LLC

－

2,400

11,000－(Note 1) The executive directors and the supervisory director don’t hold the fund’s unit. Although the supervisory directors may be in a position of executive officer of any
corporations other than stated above, there is no conflict of interest related to the fund.
(Note 2) Compensation for the accounting auditor includes compensation for the audit of English financial statements and assessment of value of specified assets.
(Note 3) Overview of details of directors and officers liability insurance policy
CSIF has entered into a directors and officers liability insurance policy with an insurance company, as provided for in Article 116-3, Paragraph 1 of the Investment Trust Act.
This insurance policy covers lossses arising from claims for damages borne by the insureds due to errors, breach of duty, nonfeasance, etc.The above-mentioned Ececutive
Director and all of the Supervisory Directors are insureds under this insurance policy. However, CSIF does not cover losses and costs personally incurred by officers
through criminal acts and intentional illigal activities, such as bribery, as a measure to ensure that the proper performance of duties of officers, etc.,is not impaired.The fullamount of the insurance premium for this insurance policy excluding special contract is borne by CSIF.

11th FP

12th FPAs of Dec. 31, 2022
Type of asset

Region (Note 1)

Hokkaido/Tohoku
Kanto
Solar energy facility
Tokai
Chugoku/Shikoku
KyushuSubtotal
Hokkaido/Tohoku
Kanto
Land
Tokai
Chugoku/Shikoku
KyushuSubtotal
Hokkaido/Tohoku
Kanto
Land lease
Tokai
Chugoku/Shikoku
KyushuSubtotal
Hokkaido/Tohoku
Solar energy facility intrust
KyushuSubtotal
Hokkaido/Tohoku
Land in trust
KyushuSubtotal
Hokkaido/Tohoku
Kanto
Solar energy facility etc. Tokai
Chugoku/Shikoku
KyushuSubtotal
Solar energy facility etc. total
Saving/other assets
Asset total (Note 2)

Total Asset-UnderManagement (AUM)(‘000yen)(Note 2)
893,206
2,075,481
5,081,615
8,895,539
18,671,713
35,617,556
48,970648,591
63,309560,196
3,184,875
4,505,944
69,41759,197
332,4213,415
692,471
1,156,923
3,326,739
21,650,730
24,977,470
116,748
4,653,157
4,769,905
4,455,082
2,783,271
5,477,346
9,459,151
48,852,948
71,027,800
71,027,800
6,958,203
77,986,003

As of Jun. 30, 2023

% of total AUM(Note 3)

1.1
2.7
6.5
11.4
23.9
45.7
0.1
0.8
0.1
0.7
4.1
5.8
0.1
0.1
0.4
0.0
0.9
1.5
4.3
27.8
32.0
0.1
6.0
6.1
5.7
3.6
7.0
12.1
62.6
91.1
91.1
8.9
100.0

Total Asset-UnderManagement (AUM)(‘000yen)(Note 2)
871,954
2,032,021
4,964,588
8,667,802
18,196,926
34,733,293
48,970648,591
63,309560,196
3,184,875
4,505,944
69,41759,197
332,4213,415
692,471
1,156,923
3,255,577
21,175,262
24,430,840
116,748
4,653,157
4,769,905
4,362,667
2,739,810
5,360,319
9,231,414
47,902,694
69,596,907
69,596,907
6,768,137
76,365,045% of total AUM(Note 3)

1.1
2.7
6.5
11.4
23.8
45.5
0.1
0.8
0.1
0.7
4.2
5.9
0.1
0.1
0.4
0.0
0.9
1.5
4.3
27.7
32.0
0.2
6.1
6.2
5.7
3.6
7.0
12.1
62.7
91.1
91.1
8.9
100.0

(Note 1) "Hokkaido/Tohoku" refers to Hokkaido, Aomori prefecture, Iwate prefecture, Akita prefecture, Miyagi prefecture, Fukushima prefecture and Yamagata prefecture. "Kanto"refers to Ibaraki prefecture, Tochigi prefecture, Gunma prefecture Tokyo, Kanagawa prefecture, Saitama prefecture, Chiba prefecture, Yamanashi prefecture, Nagano
prefecture and Niigata prefecture. "Tokai" refers to Shizuoka prefecture, Aichi prefecture, Gifu prefecture, Mie prefecture, Toyama prefecture, Ishikawa prefecture andFukui prefecture. "Chugoku/Shikoku" refers to Okayama prefecture, Hiroshima prefecture, Yamaguchi prefecture, Tottori prefecture, Shimane prefecture, Kagawa
prefecture, Kochi prefecture, Tokushima prefecture and Ehime prefecture. "Kyushu" refers to Fukuoka prefecture, Oita prefecture, Miyazaki prefecture, Kagoshima
prefecture, Kumamoto prefecture, Nagasaki prefecture, Saga prefecture and Okinawa prefecture. The same applies hereinafter.
(Note 2) AUM refers to the numbers in the balance sheet.
(Note 3) The ratios are rounded off to the first decimal place.

b.The policy on decision of removal / not-to-reappoint of accounting auditor
Decision of removal is made based on Investment Trust Law and not-to-reappoint is made by unitholders’ meeting.

(4) Asset Manager, Asset Custodian and Administrator

Asset manager, asset custodian and administrator as of June 30, 2023 are as follows.
Delegated Position

28

Name

Asset Manager

Canadian Solar Asset Management K.K.

Asset Custodian

Sumitomo Mitsui Trust Bank, Ltd.

Administrator (Institutional Operation)

Sumitomo Mitsui Trust Bank, Ltd.

Administrator (Custodian of List of Unitholders)

Sumitomo Mitsui Trust Bank, Ltd.

Administrator (Accounting)

Ernst & Young Tax Co.

Administrator (Administration of Bond)

Mizuho Bank, Ltd.

29

Ⅰ. Asset Management Report(2) Major Assets List(ii) Details of Power Generation Facilities

The summary of the top 10 assets as of June 30, 2023 is as follows.

The following table provides summary information for the CSIF owned 25 renewable energy facilities as of June 30, 2023. The renewable energy facilities suite toRental Revenue Earned by Infrastructure Asset(in JPY thousand)Name of Infrastructure Assetthe standards stipulated in each section in the Article 9, 3 of the Act on Special Measures Concerning Procurement of Electricity from Renewable Energy SourcesBook Value(in JPY mln)

by Electricity Utilities.

CS Hiji-machi Dai-ni Power Plant

1,072,217

26,130CS Mashiki-machi Power Plant

792,064

16,194

CS Daisen-cho Power Plant (A) and (B)505,800

8,521

CS Izu-shi Power Plant

227,630

4,003

CS Ogawara-machi Power Plant

146,425

2,565

77,483

1,370

44,291882

CS Minamishimabara-shi Power Plant (East)and (West)
CS Minano-machi Power Plant
CS Hiji-machi Power Plant

48,517801

CS Ashikita-machi Power Plant

44,189779

CS Kasama-shi Power Plant

46,871766

3,005,493

62,015

Total(Note) There are no events which have impacts on any investment decision on infrastructure assets.

(3) Details of Assets

a.Details of Power Generation Facilities(i) Summary
Beginning
Balance

Type of Asset

Property andEquipment

Intangible
AssetsIncrease in
the FP

Decrease in
the FP

Accumulated Depreciation /Amortization

EndingBalance

For this FP

Net Ending
Balance

Abstract

1,056

7

-

1,064

215

21

849

(Note 1)

Machinery andEquipment

42,48015-

42,495

9,077

873

33,418(Note 2)Tools, Furnitureand Fixtures

591

0

-

592

126

11

465

Land

4,505

-

-

4,505

-

-

4,505

Structures in trust
Machinery andEquipment in trust
Tools, Furnitureand Fixtures intrust
Land in trust
Construction inprogress in trust
Total

6,590

-

-

6,590

563

121

6,026

20,291--

20,291

1,972

422

18,318

94

0

-

94

8

1

85

4,769

-

-

4,769

-

-

4,769

-

3

-

3

-

-

3

80,38027-80,407

11,963

1,454

68,443

1,156

-

-

1,156

-

-

1,156

6

0

-

7

4

0

2

1,163

0

-

1,164

4

0

1,159

SoftwareTotal
thSite Area(m2) (Note 1)

PPA Purchase Price(yen/kwh) (Note 2)

Certification Date

FIT Term End

CS Shibushi-shi
Power Plant

Shibushi-shi, Kagoshima

19,86140

February 26, 2013

September 16,
2034

Solar Plant etc.

CS Isa-shi Power
Plant

Solar Plant etc.

CS Kasama-shi
Power Plant

Isa-shi, Kagoshima

22,22340

February 26, 2013

June 8, 2035

Kasama-shi, Ibaraki

42,666(Note 5)

Solar Plant etc.

CS Isa-shi Dai-niPower Plant

40

January 25, 2013

June 25, 2035

Solar Plant etc.

CS Yusui-cho
Power Plant

Isa-shi, Kagoshima

31,81836

October 2, 2013

June 28, 2035

S-06

Solar Plant etc.

CS Isa-shi Dai-sanPower Plant

Aira-gun, Kagoshima

25,27436

March 14, 2014

August 20, 2035

Isa-shi, Kagoshima

40,73640

February 26, 2013

September 15,
2035

S-07

Solar Plant etc.

CS Kasama-shi Daini Power Plant

Kasama-shi, Ibaraki

53,27540

January 25, 2013

September 23,
2035

S-08

Solar Plant etc.

CS Hiji-machi
Power Plant

Hayami-gun, Oita

30,24636

July 16, 2013

October 12, 2035

S-09

Solar Plant etc.

CS Ashikita-machi
Power Plant

Ashikita-gun, Kumamoto

45,74040

February 26, 2013

December 10,
2035

S-10

Solar Plant etc.

CS Minamishimabarashi Power Plant (East) /CS Minamishimabarashi Power Plant (West)

Minamishimabara-shi,
Nagasaki

56,06640

February 26, 2013
(East)
February 26, 2013
(West)

December 24,
2035 (East)
January 28, 2036
(West)

S-11

Solar Plant etc.

CS Minano-machi
Power Plant

Chichibu-gun, Saitama

44,90432

December 11,
2014

December 6, 2036

S-12

Solar Plant etc.

CS Kannami-cho
Power Plant

Tagata-gun, Shizuoka

41,33936

March 31, 2014

March 2, 2037

Solar Plant etc.

CS Mashiki-machi
Power Plant

Kamimashiki-gun,
Kumamoto

638,552(Note 6)36

October 24, 2013

June 1, 2037

Solar Plant etc.

CS Koriyama-shi
Power Plan

Koriyama-shi, Fukushima

30,376(Note 5)32

February 27, 2015

September 15,
2036

Solar Plant etc.

CS Tsuyama-shi
Power Plant

Tsuyama-shi, Okayama

31,05932

September 26,
2014

June 29, 2037

Solar Plant etc.

CS Ena-shi PowerPlant

Aza Ochise, Kusumi, Osashimacho, Ena-shi, Gifu

32

February 24, 2015

September 12,
2037

40

February 22, 2013
(A)
February 28, 2013
(B)

August 9, 2037

January 30, 2015

October 9, 2037
March 26, 2037

Category

S-01

Solar Plant etc.

S-02
S-03
S-04
S-05

S-13

Structures

Leasehold Rights

Location

Asset #

S-14
S-15
(Note 3)(Note 3)(Note 4)(Note 1) The increase for the 12 FP is related to the renovation work for the second retention pond of S-13 CS Mashiki-machi Power Plant.
th(Note 2) The increase for the 12 FP is mainly related to the PCS 6th year inspection of S-3 CS Kasama-shi Power Plant and S-7 CS Kasama-shi Dai-ni Power Plant and Cable
protection work for the second work area for weeding of S-13 CS Mashiki-machi Power Plant.
th(Note 3) The increase for the 12 FP is wholly related to the capital expenditure for photovoltaic power generation facilities.
th(Note 4) The increase for the 12 FP is related to the cavity restoration work for E site of S-24 CS Hiji-machi Dai-ni Power Plant.

S-16

Project Name

37,373(Note 3)(Note 4)

S-17

Solar Plant etc.

CS Daisen-choPower Plant (A) and(B)

Aza Magoese, Toyofusa,
Daisen-cho, Saihaku-gun,Tottori (A)Aza Kamikawara,
Toyofusa, Daisen-cho,
Saihaku-gun, Tottori (B)

S-18

Solar Plant etc.

CS Takayama-shi
Power Plant

Shingumachi, Takayamashi, Gifu

16,278(Note 5)32

S-19

Solar Plant etc.

CS Misato-machi
Power Plant

Misato-machi, Kodamagun, Saitama

25,31532

January 6, 2015

S-20

Solar Plant etc.

CS Marumori-machi
Power Plant

Marumori-machi, Igu-gun,
Miyagi65,306(Note 8)36

February 28, 2014

July 12, 2038

CS Izu-shi Power
Plant
CS Ishikari
Shinshinotsu-muraPower Plant
CS Osaki-shi
Kejonuma Power
Plant
CS Hiji-machi Dai-niPower Plant

Ono Aza Okubo, Izu-shi,
Shizuoka

337,160

36

March 31, 2014

November 29,
2038

Ishikari-gun Hokkaido

42,977

24

November 18,
2016

July 15, 2039

Osaki-shi Miyagi

26,051

21

March 27, 2018

July 21, 2039

Hayami-gun Oita

1,551,086(Note 9)40

March 15, 2013

October 30, 2039

Shibata-gun Miyagi

123,624(Note 10)32

February 9, 2015

March 19, 2040

S-21

Solar Plant etc.

S-22

Solar Plant etc.

S-23

Solar Plant etc.

S-24

Solar Plant etc.

S-25

Solar Plant etc.

CS Ogawara-machi
Power Plant

452,760(Note 7)(Note 1) The numbers for “Site Area” are not equal to the real situation but based on the ground register.
(Note 2) “PPA Purchase Price” are the FIT price for each power plant (excluding consumption tax amount).
(Note 3) “Certification Date” denotes the date each power plant is certified under the article 6.1 of Revision Renewable Energy Special Measures Law. Each power plant is deemedbeing certified on April 1, 2017 based on the article 9.3 of Revision Renewable Energy Special Measures Law.
(Note 4) “FIT Term End” denotes the date 20-year FIT term ends for each power plant.
(Note 5) The number for the site area is only for the power plant’s land ownership rights and doesn’t include easement.
(Note 6) The number for the site area is only for the power plant’s and self-employed line’s land ownership rights and doesn’t include easement.
(Note 7) The number for the site area is only for the power plant’s and self-employed line’s surface rights and doesn’t include leasehold rights and easement.
(Note 8) The number for the site area is only for the power plant’s, self-employed line’s and access road’s surface rights and doesn’t include easement.
(Note 9) The number for the site area is only for the power plant’s, self-employed line’s and access road’s land ownership rights and leasehold rights and does not include
easement.
(Note 10) The number for the site area is only for the power plant’s, self-employed line’s and access road’s surface rights and leasehold rights and does not include easement.

30

31

Ⅰ. Asset Management Report

Asset #

Project name

S-01

CS Shibushi-shi
Power Plant

S-02

CS Isa-shi Power
Plant

S-03

Acquisition Price(million yen)

Fiscal period end
valuation (million
yen) (Note 2)

Certified Operator

PPA company

Tida Power01 G.K

Kyushu Electric Power
Co., Inc

540

460

Tida Power01 G.K.

Kyushu Electric Power
Co., Inc

372

305

CS Kasama-shi
Power Plant

Tida Power01 G.K.

TEPCO Energy Partner,
Incorporated

907

853

S-04

CS Isa-shi Dai-niPower Plant

Tida Power01 G.K.

Kyushu Electric Power
Co., Inc

778

630

S-05

CS Yusui-cho
Power Plant

Tida Power01 G.K.

Kyushu Electric Power
Co., Inc

670

544

S-06

CS Isa-shi Dai-sanPower Plant

Tida Power01 G.K..

Kyushu Electric Power
Co., Inc

949

785

S-07

CS Kasama-shi Daini Power Plant

Tida Power01 G.K..

TEPCO Energy Partner,
Incorporated

850

738

S-08

CS Hiji-machi
Power Plant

Tida Power01 G.K.

Kyushu Electric Power
Co., Inc

1,029

845

S-09

CS Ashikita-machi
Power Plant

Tida Power01 G.K..

Kyushu Electric Power
Co., Inc

989

830

CS Minamishimabara-shi
Power Plant (East) / CS
Minamishimabara-shi Power
Plant (West)

Tida Power01 G.K.

Kyushu Electric Power
Co., Inc

1,733

1,504

S-11

CS Minano-machi
Power Plant

Tida Power01 G.K.

TEPCO Energy Partner,
Incorporated

1,018

950

S-12

CS Kannami-cho
Power Plant

Tida Power01 G.K..

TEPCO Energy Partner,
Incorporated

514

476

S-13

CS Mashiki-machi
Power Plan

Tida Power01 G.K.

Kyushu Electric Power
Co., Inc.

19,751

19,046

S-14

CS Koriyama-shi
Power Plan

Tida Power01 G.K..

Tohoku Electric Power
Co., Inc.

246

220

S-15

CS Tsuyama-shi
Power Plan

Tida Power01 G.K..

The Chugoku ElectricPower Co., Inc.

746

642

S-16

CS Ena-shi Power
Plant

Tida Power01 G.K..

The Chubu ElectricPower Co., Inc.

757

713

S-17

CS Daisen-cho Power
Plant (A) and (B)Tida Power01 G.K..

The Chugoku ElectricPower Co., Inc.

10,447

9,147

S-18

CS Takayama-shi
Power Plant

Tida Power01 G.K.

The Chubu ElectricPower Co., Inc.

326

289

S-19

CS Misato-machi
Power Plant

Tida Power01 G.K.

TEPCO Energy Partner,
Incorporated

470

397

S-20

CS Marumori-machi
Power Plant

Tida Power01 G.K.

Tohoku Electric Power
Co., Inc.

850

730

S-21

CS Izu-shi Power
Plant

Tida Power01 G.K.

TEPCO Power Grid,
Incorporated

4,569

3,998

Tida Power01 G.K.

Hokkaido Electric Power
Network Co., Ltd.

680

579

S-10

S-22
S-23
S-24
S-25

CS Ishikari
Shinshinotsu-muraPower Plant
CS Osaki-shi
Kejonuma Power
Plant
CS Hiji-machi Dai-niPower Plant
CS Ogawara Power
Plant(Note 1)
(Note 5)

Tida Power01 G.K.

Tohoku ElectricPower Network Co.,Inc.

Tida Power01 G.K..
(Note 6)

Kyushu Electric Power
Co., Inc.

27,851

27,272

Tida Power01 G.K.

Tohoku ElectricPower Network Co.,Inc.

2,745

2,730

80,001

74,876

Total

208

186

Appraisal value of solar
plants(million yen) (Note 3)(upper:solar energy
facility) (lower:land)
328
132
288
17
635
218
600
29
518
25
737
48
696
41
815
29
798
31
1,437
67
709
241
441
34
15,666
3,380
168
51
509
133
679
33
8,832
315
231
57
283
114
715
14
3,795
203
520
58
145
40
22,472
4,800
2,693
36
64,721
10,155

Fiscal period end
book value(million yen)(iii) Operational Results of Each Power Generation Facilities (in JPY thousand)S-01 CS Shibushi-shi Power Plant
8th FP(Note 4)

447
296
766
608
526
748
666
801
779

1,370

882

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

18,5364,326
322,866

18,941
7,353－
26,29518,4405,386
023,82818,843
7,052－
25,896

17,8974,313
022,211

1,626
1,626
－
3,078
2,870
－
－
207
－
－
9,486
466
8,978
41
14,191
8,675

1,626
1,626
－
3,089
2,155
696
－
237
－
－
9,539
468
9,029
41
14,254
12,040

1,400
1,400
－
2,414
2,155
－
－
258
－
－
9,539
468
9,029
41
13,355
10,473

1,400
1,400
－
2,613
2,155
199
－
258
－
－
9,539
468
9,029
41
13,554
12,341

1,194
1,194
－
2,769
2,177
－
－
591
－
－
9,539
468
9,029
41
13,504
8,707

463
16,194
213
709
587
8,521
305
425
725
4,003
654
203
26,1302,565

S-02 CS Isa-shi Power Plant
8th FP
Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

14,1684,105－
18,273

14,027
5,006－
19,034

14,095
5,707－
19,802

13,954
6,359－
20,314

13,6693,961－
17,631

1,244
1,244
－
2,726
1,610
144
－
173
797
－
7,837
256
7,563
17
11,808
6,465

1,244
1,244
－
2,619
1,610
－
－
193
797
18
7,837
256
7,563
17
11,701
7,332

1,090
1,090
－
2,611
1,610
－
－
203
797
－
7,924
256
7,650
17
11,625
8,177

1,090
1,090
－
2,761
1,610
149
－
203
797
－
7,925
256
7,651
17
11,776
8,537

936
936
－
2,874
1,610
－
－
466
797
－
7,925
256
7,651
17
11,736
5,895

69,596(Note 1) Acquisition price is based on acquisition price as described in the purchase agreements (excluding acquisition expenses related to the payment of outsourcing service
fees, property-related taxes, taxes on depreciable assets, urban planning taxes, consumption taxes and other fees).
(Note 2) For S-01 to S-18, the fiscal period end valuation is the median amount that the Investment Corporation calculated in accordance with Article 41, paragraph 1 of the CSIF's
Articles of Incorporation based on the range of valuation provided to us by PricewaterhouseCoopers Sustainability LLC and, for S-19 to S-25, the fiscal period end
valuation is based on the median amount which is the total sum of the median amount rounded down to the nearest million yen stated in the valuation provided to us by
Kroll International Inc.
(Note 3) On the upper row of the appraisal value of solar plants, an assumed appraisal value of solar energy projects that is obtained by deducting the real estate appraisal value
calculated by Daiwa Real Estate Appraisal Co., Ltd. from the appraised value at the end of the period in (Note 2) above is stated, and on the lower row, an amount statedin the real estate appraisal report prepared by Daiwa Real Estate Appraisal Co., Ltd. is stated. Real estate includes its superficies right.
(Note 4) Fiscal period end book value is the book value of solar energy as of June 30, 2023.
(Note 5) The acquisition price of CS Mashiki Power Plant had reduced in the amount of 332 million yen on December 16, 2020, back from the signing date of the Property
Purchase Agreement.
(Note 6) LOHAS ECE2 G.K., which was the certified operator for CS Hiji-machi Dai-ni Power Plant, was merged with Tida Power 01 G.K. as the surviving company on May 10,2023. The same shall apply hereafter.

32

33

Ⅰ. Asset Management Report
S-03 CS Kasama-shi Power Plant

S-05 CS Yusui-cho Power Plant
8th FP

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

34,968
13,110－48,07929,09910,580306
39,98534,7889,993－
44,782

28,94912,248－41,19834,60912,261－
46,871

2,848
2,848
－
3,698
2,914
426
－
357
－
－
14,462324
14,10433
21,00927,069

2,848
2,848
－
3,594
3,189
－
－
405
－
－
14,483345
14,10433
20,926
19,059

2,481
2,481
－
3,572
2,914
220
－
438
－
－
14,483345
14,10433
20,537
24,245

2,481
2,481
－
4,386
2,914
1,034
－
438
－
－
14,483345
14,10433
21,351
19,846

2,167
2,167
－
6,433
2,914
2,519
－
1,000
－
－
14,637345
14,25833
23,23823,632

S-04 CS Isa-shi Dai-ni Power Plant

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income (Note)
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

34

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

26,555
4,925－
31,48023,2368,331－
31,56826,4186,377－
32,79623,117
9,785－
32,90325,6182,703－
28,332

2,396
2,396
－
4,828
2,966
289
－
308
1,263
－
14,269605
13,429235
21,494
9,986

2,396
2,396
－
4,822
2,966
242
－
350
1,263
－
14,269605
13,429235
21,487
10,080

2,076
2,076
－
4,856
3,213
－
－
378
1,263
－
14,358605
13,517
235
21,29011,505

2,076
2,076
－
5,109
2,966
500
－
378
1,263
－
14,360605
13,519235
21,546
11,356

1,783
1,783
－
5,974
2,988
855
－
866
1,263
－
14,364605
13,519239
22,122
6,200

S-06 CS Isa-shi Dai-san Power Plant
8th FP

Accounting Item

8th FP
Accounting Item

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

29,2109,139－
38,35028,965
10,513－39,47829,06012,249－41,31028,815
11,483－40,29828,183
7,593－
35,777

2,769
2,769
－
4,815
2,893
－
－
330
1,590
－
16,457306
16,10941
24,042
14,307

2,769
2,769
－
4,861
2,893
－
－
376
1,590
－
16,481306
16,133
41
24,111
15,366

2,395
2,395
－
4,893
2,893
－
－
408
1,590
－
16,533306
16,18641
23,822
17,487

2,395
2,395
－
5,101
2,893
207
－
408
1,590
－
16,534306
16,18641
24,031
16,267

2,056
2,056
－
6,990
2,921
1,545
－
933
1,590
－
16,534306
16,18641
25,581
10,196

8th FP
Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

35,332
9,647－
44,97934,496
13,204－47,70135,151
14,338－49,49034,318
14,687－49,006

34,073
8,278－
42,352

3,323
3,323
－
5,583
3,185
－
－
361
2,036
－
19,861
290
19,52051
28,767
16,211

3,323
3,323
－
6,704
4,253
－
－
414
2,036
－
19,896290
19,55451
29,924
17,776

2,882
2,882
－
6,418
3,719
205
－
456
2,036
－
19,970290
19,62851
29,271
20,218

2,882
2,882
－
6,454
3,719
242
－
456
2,036
－
19,971
290
19,62951
29,308
19,697

2,476
2,476
－
6,812
3,732
－
－
1,043
2,036
－
19,971
290
19,62951
29,26013,09235

Ⅰ. Asset Management Report
S-07 CS Kasama-shi Dai-ni Power Plant

S-09 CS Ashikita-machiPower Plant
8th FP

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

34,543
14,19480
48,81728,718
10,587－39,30534,365
13,697
27
48,09028,57012,345－40,91634,18812,032－
46,221

3,161
3,161
－
5,621
2,878
－
－
346
2,396
－
17,604247
17,31442
26,38722,429

3,161
3,161
－
5,928
3,145
－
－
387
2,396
－
17,604247
17,31442
26,695
12,610

2,710
2,710
－
5,940
2,878
255
－
410
2,396
－
17,604247
17,31442
26,256
21,834

2,710
2,710
－
5,778
2,878
93
－
410
2,396
－
17,604247
17,31442
26,094
14,821

2,324
2,324
－
11,472
2,874
5,267
－
934
2,396
－
17,758247
17,46842
31,555
14,665

S-08 CS Hiji-machi Power Plant

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

36

Fr. Jan. 1, 2021
To Jun. 30, 2021

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

35,39011,664－47,05436,736
13,064－49,80135,20816,008－51,21736,547
13,956－50,504

34,121
10,068－44,189

3,559
3,559
－
6,001
3,900
－
－
419
1,681
－
20,216
1,441
18,523
252
29,777
17,276

3,559
3,559
－
6,187
3,900
132
－
473
1,681
－
20,216
1,441
18,523
252
29,963
19,837

3,071
3,071
－
6,090
3,900
－
－
508
1,681
－
20,301
1,441
18,608252
29,46321,753

3,071
3,071
－
6,332
3,900
242
－
508
1,681
－
20,306
1,441
18,612
252
29,71020,794

2,632
2,632
－
6,785
3,938
－
－
1,165
1,681
－
20,306
1,441
18,612
252
29,724
14,465

S-10 CS Minamishimabara-shi Power Plant (East and West)
8th FP

Accounting Item

8th FP
Accounting Item

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

37,564
13,581－
51,146

37,101
16,053－53,15537,372
22,236－59,60836,91018,138－55,04836,242
12,274－
48,517

3,798
3,798
－
6,221
4,185
－
－
433
1,602
－
22,031
835
21,12075
32,051
19,095

3,798
3,798
－
6,729
4,719
－
－
498
1,512
－
22,119835
21,20578
32,647
20,507

3,299
3,299
－
6,354
4,248
－
－
548
1,557
－
22,162835
21,24878
31,815
27,793

3,299
3,299
－
6,629
4,248
275
－
548
1,557
－
22,166835
21,252
78
32,094
22,954

2,835
2,835
－
7,060
4,248
－
－
1,254
1,557
－
22,166835
21,25278
32,062
16,4548th FP
Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

62,844
32,632－
95,47664,856
18,371－
83,22762,52133,501－
96,02364,52327,753－92,276

60,61816,865－77,483

6,244
6,244
－
10,536
5,515
152
－
606
4,260
－
35,333751
34,333248
52,11443,361

6,244
6,244
－
12,049
5,515
1,580
－
693
4,260
－
35,397755
34,392248
53,691
29,535

5,400
5,400
－
10,533
5,515
－
－
757
4,260
－
35,397755
34,392248
51,331
44,692

5,400
5,400
－
15,147
8,275
1,853
－
757
4,260
－
35,404755
34,399248
55,95236,324

4,634
4,634
－
11,539
5,553
－
－
1,723
4,261
－
35,408755
34,403248
51,581
25,90237

Ⅰ. Asset Management Report
S-11 CS Minano-machi Power Plant

S-13 CS Mashiki-machi Power Plant
8th FP

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

35,16011,831－
46,99330,3788,454－
38,832

34,981
10,801－45,78330,2236,551－
36,77434,082
9,489－
44,291

3,330
3,330
－
4,234
3,814
－
－
420
－
－
16,211766
15,445－23,77623,217

3,330
3,330
－
5,468
4,117
875
－
475
－
－
16,211766
15,445－25,01013,821

2,886
2,886
－
4,620
3,814
293
－
512
－
－
16,211766
15,445－23,71822,064

2,886
2,886
－
4,431
3,814
104
－
512
－
－
16,211766
15,445－23,52913,245

2,504
2,504
－
5,290
3,814
304
－
1,171
－
－
16,211766
15,445－24,006
20,285

S-12 CS Kannami-cho Power Plant

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

38

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

9th FP

Fr. Jan. 1, 2021
To Jun. 30, 2021

10th FP

Fr. Jul. 1, 2021
To Dec. 31, 2021

Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

657,875
313,693－
971,569

681,331250,5119
931,851654,533
369,157－
1,023,691

677,855
294,168－
972,023

634,560
157,504－
792,064

70,99370,993－80,39670,219
1,996
－
8,121
58
－
338,234
3,562
326,769
7,902
489,624
481,945

70,99370,993－80,682
71,329
248
－
9,051
53
－
338,300
3,626
326,770
7,902
489,976
441,875

61,54961,549－83,17770,219
3,408
－
9,493
55
－
338,329
3,646
326,780
7,902
483,056
540,634

61,54961,549－83,40070,219
3,630
－
9,493
55
－
338,389
3,706
326,780
7,902
483,338
488,684

53,44953,449－86,88570,262
3,346－
13,201
75－
338,451
3,751
326,797
7,902
478,785
313,278

S-14 CS Koriyama-shi Power Plant
8th FP

Accounting Item

8th FP
Accounting Item

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

19,446
10,093－29,53918,2706,460－
24,731

19,347
9,032－
28,37918,177
6,661－
24,83919,248
7,589－
26,838

1,785
1,785
－
3,696
1,809
－
－
207
1,678
－
9,662
380
9,226
55
15,144
14,395

1,785
1,785
－
5,416
1,809
1,700
－
227
1,678
－
9,662
380
9,226
55
16,864
7,866

1,541
1,541
－
4,093
1,809
371
－
233
1,678
－
9,662
380
9,226
55
15,297
13,081

1,541
1,541
－
4,932
1,809
1,210
－
233
1,678
－
9,671
389
9,226
55
16,146
8,692

1,335
1,335
－
3,991
1,809
－
－
527
1,653
－
9,671
389
9,226
55
14,998
11,8398th FP
Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

9th FP

Fr. Jan. 1, 2021
To Jun. 30, 2021

10th FP

Fr. Jul. 1, 2021
To Dec. 31, 2021

Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

8,003
4,148
－
12,152

7,504
3,481
2
10,988

7,962
4,165
－
12,128

7,465
3,277
2
10,746

7,916
4,129
－
12,046

1,007
1,007
－
940
829
－
－
110
－
－
4,191
327
3,864
－
6,138
6,013

1,007
1,007
－
945
829
－
－
115
－
－
4,191
327
3,864
－
6,143
4,844

869
869
－
1,218
829
277
－
110
－
－
4,191
327
3,864
－
6,279
5,849

869
869
－
940
829
－
－
110
－
－
4,191
327
3,864
－
6,001
4,744

752
752
－
1,080
829
－
－
250
－
－
4,193
327
3,866
－
6,025
6,020

39

Ⅰ. Asset Management Report
S-15 CS Tsuyama-shi Power Plant

S-17 CS Daisen-cho Power Plant (A and B)
8th FP

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

24,05312,364－36,417

21,6858,308－
29,99423,931
11,850－35,781

21,575
12,106－
33,681

23,8097,889－
31,698

3,020
3,020
－
3,706
2,820
650
－
233
3
－
13,084376
12,403304
19,811
16,606

3,020
3,020
－
3,338
2,820
253
－
264
－
－
13,144376
12,462304
19,502
10,492

2,624
2,624
－
3,374
3,084
－
－
288
1
－
13,146379
12,462
304
19,145
16,636

2,624
2,624
－
3,587
2,764
532
－
288
1
－
13,160393
12,462
304
19,372
14,309

2,293
2,293
－
3,589
2,943
－
－
643
1
－
13,160393
12,462304
19,044
12,654

S-16 CS Ena-shi Power Plant

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

40

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

9th FP

Fr. Jan. 1, 2021
To Jun. 30, 2021

10th FP

Fr. Jul. 1, 2021
To Dec. 31, 2021

Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

324,605
261,534－
586,140

381,584
139,595－
521,180

322,958
259,138－
582,096379,639
131,563－511,203

321,310
184,490－
505,800

44,70144,701－
55,972
37,972567－
4,876
12,555－
214,567
4,905
208,879782
315,241
270,898

44,70144,701－
61,08543,044－－
5,486
12,554－
214,568
4,905
208,880782
320,354
200,825

38,62338,623－62,12843,632
160－
5,844
12,491－
214,569
4,905
208,881782
315,321266,774

38,62338,623－
72,12440,508
13,166－
5,844
12,604－
214,573
4,909
208,881782
325,321
185,882

33,38533,385－67,81640,508
7,628
－
7,121
12,558－214,575
4,911
208,881782
315,777
190,023

S-18 CS Takayama-shi Power Plant
8th FP

Accounting Item

8th FP
Accounting Item

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

26,133
12,678－38,81225,353
11,281－
36,63526,0005,789－
31,79025,225
17,874－43,09925,86813,215
3
39,086

3,216
3,216
－
4,233
2,912
122
－
265
933
－
14,510589
13,823
97
21,96016,851

3,216
3,216
－
4,666
2,912
－
－
300
1,454
－
14,510589
13,823
97
22,393
14,241

2,776
2,776
－
8,937
2,772
4,653
－
325
1,187
－
14,510589
13,823
97
26,224
5,565

2,776
2,776
－
7,649
2,772
3,364
－
325
1,187
－
14,526589
13,84097
24,952
18,147

2,402
2,402
－
5,147
2,807
429
－
728
1,183
－
14,526589
13,84097
22,077
17,0098th FP
Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

9th FP

Fr. Jan. 1, 2021
To Jun. 30, 2021

10th FP

Fr. Jul. 1, 2021
To Dec. 31, 2021

Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

10,963
5,009－
15,973

9,622
3,173
－
12,796

10,908－－
10,908

9,573
730
782
11,086

10,852
16,866－
27,719

1,545
1,545
－
2,886
1,285
1,480
－
120
－
－
5,496
344
5,139
12
9,928
6,044

1,545
1,545
－
1,554
1,285
132
－
136
－
－
5,496
344
5,139
12
8,595
4,201

1,362
1,362
－
4,265
2,516
1,600
－
148
－
－
4,881
344
4,524
12
10,509
399

1,362
1,362
－
3,484
1,256
2,079
－
148
－
－
5,034
344
4,675
14
9,880
1,205

1,403
1,403
－
2,617
1,291
994
－
331
－
－
5,795
344
5,430
21
9,816
17,90241

Ⅰ. Asset Management Report
S-19 CS Misato-machi Power Plant

S-21 CS Izu-shi Power Plant
8th FP

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

15,2237,134
522,363

12,873
6,079－
18,953

15,145
6,926－
22,072

12,8085,228－
18,037

15,068
6,911－
21,979

2,310
2,310
－
3,173
1,439
1,572
－
161
－
－
7,595
176
7,345
73
13,079
9,283

2,310
2,310
－
1,680
1,499
－
－
180
－
－
7,600
176
7,345
77
11,591
7,362

2,032
2,032
－
2,318
1,425
701
－
191
－
－
7,602
176
7,345
79
11,953
10,118

2,032
2,032
－
2,191
1,425
574
－
191
－
－
7,603
176
7,345
80
11,826
6,210

1,788
1,788
－
1,966
1,425
107
－
432
－
－
7,603
176
7,345
80
11,357
10,621

S-20 CS Marumori-machi Power Plant

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

42

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

155,030
95,230－250,260

141,256
81,935－
223,191

154,247
89,977－244,225

140,541
73,271－
213,813

153,464
74,165－
277,630

24,32924,329－27,016
13,018
1,342
－
1,483
11,173－87,776
4,082
82,271
1,421
139,122
111,138

24,32924,329－25,81713,018－－
1,606
11,192－87,776
4,082
82,271
1,421
137,922
85,26820,967
20,967－
26,41813,018
601－
1,625
11,173－87,776
4,082
82,271
1,421
135,161
109,063

20,967
20,967－
27,046
13,018
1,230
－
1,625
11,173－87,835
4,142
82,271
1,421
135,850
77,963

18,102
18,102－
26,43813,018－－2,246
11,173－87,835
4,142
82,271
1,421
132,375
95,255

S-22 CS Ishikari Shinshinotsu-mura Power Plant
8th FP

Accounting Item

8th FP
Accounting Item

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

32,22815,833－48,061

28,045
10,675－38,721

32,065
10,421－
42,487

27,903
11,450－39,35331,901
15,904－47,805

4,696
4,696
－
8,215
2,865
118
－
487
4,744
－
17,059503
16,320234
29,971
18,090

4,696
4,696
－
9,100
2,865
1,040
－
464
4,729
－
17,059503
16,320234
30,855
7,865

4,056
4,056
－
11,124
3,030
3,058
－
366
4,669
－
17,059503
16,320234
32,23910,247

4,056
4,056
－
8,831
2,672
1,045
－
366
4,748
－
17,059503
16,320234
29,947
9,406

3,504
3,504
－
8,454
2,883
－
－
824
4,745
－
17,059503
16,320234
29,017
18,788

8th FP
Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Trust fees)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)(Structures in trust)(Machinery and equipment in trust)(Tools, furniture and fixtures in trust)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

21,501
5,871－
27,373

20,656
18,948－39,605

21,38914,050－35,44020,552
12,924－33,476

21,19915,847－37,047

3,102
3,102
－
13,562
4,211
8,426
－
324
－
600
－
12,493－－－361
12,091
40
29,158(1,784)

1,741
1,741
－
14,206
3,111
10,127
－
366
0
600
－
12,665－－－274
12,35040
28,614
10,990

2,311
2,311
－
6,087
3,111
1,980
－
395
－
600
－
12,995－－－527
12,42740
21,394
14,046

2,311
2,311
－
8,603
3,111
4,495
－
395
－
600
－
13,015－－－547
12,42740
23,930
9,546

2,006
2,006
－
6,513
3,221
1,800
－
891
－
600
－
13,015－－－547
12,42740
21,535
15,51143

Ⅰ. Asset Management Report
S-23 CS Osaki-shi Kejonuma Power Plant

S-25 CS Ogawara-machi Power Plant
8th FP

Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Trust fees)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)(Structures in trust)(Machinery and equipment in trust)(Tools, furniture and fixtures in trust)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

9th FP

Fr. Jan. 1, 2021
To Jun. 30, 2021

10th FP

Fr. Jul. 1, 2021
To Dec. 31, 2021

Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP

6,756
3,764
－
10,520

6,288
2,600
18
8,907

6,664
3,964
－
10,628

6,254
2,878
9
9,142

6,657
3,880
－
10,537

745
745
－
2,602
2,182
－
－
120
－
300
－
3,600
－
－
－
300
3,276
23
6,948
3,571

745
745
－
1,804
1,372
－
－
131
－
300
－
3,600
－
－
－
300
3,276
23
6,150
2,756

654
654
－
3,314
1,372
1,505
－
136
－
300
－
3,600
－
－
－
300
3,276
23
7,570
3,058

654
654
－
1,676
1,240
－
－
136
－
300
－
3,600
－
－
－
300
3,276
23
5,932
3,209

576
576
－
1,998
1,394
－
－
303
－
300
－
3,600
－
－
－
300
3,276
23
6,175
4,362

S-24 CS Hiji-machi Dai-ni Power Plant
8th FP
Accounting Item
Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Trust fees)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)(Structures in trust)(Machinery and equipment in trust)(Tools, furniture and fixtures in trust)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

44

Fr. Jan. 1, 2021
To Jun. 30, 2021

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP
Fr. Jan. 1, 2022
To Jun. 30, 2022

11th FP
Fr. Jul. 1, 2022
To Dec. 31, 2022

8th FP

Fr. Jan. 1, 2023
To Jun. 30, 2023

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

626,679
140,790－
767,470

827,769
274,26860
1,102,098

851,537
470,8870
1,322,425

824,936
367,340－
1,192,276

843,148
229,0680
1,072,217－－－
54,99843,276
－
3,505
－
5,791
2,400
24
301,767－－－
72,436228,681649
356,765
410,704－－－
96,77960,195－
5,589
18,645
8,700
3,600
49
475,055－－－
114,009
360,024
1,021
571,835
530,262

66,926
66,926－
97,32862,960
4,005
5,877
12,072
8,763
3,600
49
475,277－－－
114,025360,229
1,021
639,532
682,893

66,926
66,926－108,186
62,96013,837
6,915
12,072
8,750
3,600
49
475,568－－－
114,109360,434
1,024
650,681541,594

59,00959,009－104,787
62,9605,038
7,262
17,118
8,757
3,600
49
475,621－－－114,150
360,434
1,037
639,418
432,799

Accounting Item

Fr. Jan. 1, 2021
To Jun. 30, 2021

Rental revenue of renewable energy power plant
Basic rent
Variable rent linked to actual output
Incidental income
Total of rental revenue of renewable energy power plant (A)Expense for rental of renewable energy power plant
Tax and public dues
(Property tax)
(Other and public dues)
Other expenses(Management entrustment expenses)(Repair and maintenance costs)(Utilities expenses)(Insurance expenses)(Land rent)(Trust fees)(Other rental expense)
Depreciation expenses(Structures)(Machinery and equipment)(Tools, furniture and fixtures)(Structures in trust)(Machinery and equipment in trust)(Tools, furniture and fixtures in trust)
Total of expense for rental of renewable energy power plant (B)Income from rental of renewable energy power plant (A-B)

9th FP
Fr. Jul. 1, 2021
To Dec. 31, 2021

10th FP

11th FP

Fr. Jan. 1, 2022
To Jun. 30, 2022

Fr. Jul. 1, 2022
To Dec. 31, 2022

12th FP
Fr. Jan. 1, 2023
To Jun. 30, 2023

76,70038,313－
115,01385,86733,454－
119,321

101,700
44,084
145,784

86,03931,191－
117,231

103,146
43,279－146,425

－
－
－
8,682
7,164
－
－
－
117
1,400
－
34,482－－－
4,186
29,766529
43,16571,848－－－18,32010,308
－
－
1,626
4,285
2,100
－
54,273－－－6,589
46,850833
72,593
46,728

7,251
7,251
－
22,921
11,017
2,365
－
1,129
6,310
2,100
－
54,273－－－6,589
46,850833
84,446
61,338

7,251
7,251
－
20,84910,819
491
－
1,129
6,310
2,100
－
54,412－－－
6,729
46,850833
82,51434,717

6,359
6,359
－
21,738
10,789
－
－
2,538
6,310
2,100
－
54,545－－－
6,862
46,850833
82,64463,781b.Details of Investment in Operating Rights for Public Facilities
Not applicable.
c.Details of Investment in Real Estate
The real estate that CSIF holds are to be provided for the use of renewable energy power generation facilities and described in “(3) Detailsof Assets / a. Details of Power Generation Facilities / (i) Summary” above.
d.Details of Investment in Securities
Not applicable.

(4) Other Assets
Assets related to the power plants are described in “(3) Details of Assets / a. Details of Power Generation Facilities / (iii) Operational
Results of Each Power Generation Facilities (in JPY thousand)” and other assets as of June 30, 2023 are as follows.
Category

Type

Transaction Outside ofMarketContracted Amount (thousand yen)
(Note 1)

Interest Rate Swap
Total

Over 1 year
(Note 1)

Fair Value(Note 2)

31,643,639

29,376,343-

31,643,639

29,376,343-(Note 1) The contracted amount is based on notional amount.
(Note 2) As the transaction is booked based on special treatment under the financial instrument accounting standard, the fair value is omitted.

(5) Location of Assets by Country
There is no asset in the countries outside Japan as of June 30, 2023.

45

Ⅰ. Asset Management Report(2) Summary of Debts

4. Capital Expenditures for Assets under Management(1) Scheduled Capital Expenditures

Category

Not applicable.

Borrowing Date
Lender(2) Capital Expenditures during the Period

The following table shows capital expenditures for renewable energy power generation facilities, etc. owned by CSIF during the fiscal
period under review.
Name of infrastructure assets, etc.
(Location)

CS Kasama-shi Power Plant(Kasama-shi, Ibaraki)
CS Kasama-shi Dai-ni Power
Plant(Kasama-shi, Ibaraki)
CS Mashiki-machi Power Plant(Kamimashiki-gun, Kumamoto)
CS Mashiki-machi Power Plant(Kamimashiki-gun, Kumamoto)Purpose

Implementation period

Amount paid
(thousand yen)

Sumitomo Mitsui
Banking Corporation

1,099

1,058

MUFG Bank, Ltd.

732

705

Resona Bank, Ltd.

1,319

1,270

PCS 6th year inspection

From April 4, 2023
To April 7, 2023

5,370

Renovation work for the second
retention pond

From February 18, 2023
To February 23, 2023

Orix Bank Corporation
The Hiroshima Bank,Ltd.
Nanto Bank, Ltd.

7,216

The Oita Bank, Ltd.

Cable protection work for thesecond work area for weeding

From February 20, 2023
To March 27, 2023

2,665

23,588

705
1,270

1,319

1,270

659

635

The Shonai Bank, Ltd.

659

635

San ju San Bank,Ltd.

146

141

The Tochigi Bank, Ltd.
SBI Shinsei Bank,
LimitedSumitomo Mitsui
Banking Corporation

659

635

1,332

1,286

1,332

1,286

1,539

1,486

769

743

788

761

394

380

1,227

1,186

1,227

1,186

Mizuho Bank, Ltd.

1,198

1,158

MUFG Bank, Ltd.

1,198

1,158

Sumitomo Mitsui Trust
Bank, Limited

1,198

1,158

Asahi Shinkin Bank

1,868

1,805

The Tottori Bank,Ltd.

1,245

1,203

1,198

1,158

The 77 Bank,Ltd.

934

902

The Oita Bank,Ltd.

622

601

The Nanto Bank,Ltd.

622

601

The Senshu Ikeda Bank,
Ltd.

622

601

The Bank of Saga,Ltd.

622

601

The Bank of Nagoya,Ltd.

622

601

The Fukuho Bank,Ltd.
The Bank ofFukuoka,Ltd.
Total

444

429

Nanto Bank, Ltd.

October 31, 2017

September 6,
2018

The Ashikaga Bank, Ltd.
The Hiroshima Bank,Ltd.
SBI Shinsei Bank,
LimitedSumitomo Mitsui
Banking Corporation

Not applicable.

5. Summary of Expenses and Debts(1) Summary of Expenses(in thousand yen)

11th FP
Fiscal Period

732
1,319

MUFG Bank, Ltd.

(3) Cash Reserved for Long-term Maintenance Plan

Total

1,693
1,058

5,370

Total

Asset Management Fee
Administrative Service Fee
Directors’ Compensation
Other Operating Expenses

1,759
1,099

From April 18, 2023
To April 21, 2023

2,967

From July 1, 2022
To December 31, 2022
115,772
27,251
2,400
71,777217,200

12th FP
From January 1, 2023
To June 30, 2023
108,941
28,8732,400
72,958213,172

Ending Balance(million yen)

Average
Interest Rate(%)

Repayment Date

Repayment
MethodUse

Abstract

October 31, 2027

Partialamortization(Note 4)

Unsecured andno guarantee

September 6, 2028

Partialamortization(Note 4)

Unsecured andno guarantee

March 8, 2031

Partialamortization(Note 4)

Unsecured andno guarantee(Note 1)Long-term
SBI Shinsei Bank,
LimitedMizuho Bank, Ltd.

PCS 6th year inspection

Other Power Plants

Beginning
Balance(million yen)

The Chugoku Bank,Ltd.

March 8, 2021

266

257

32,78831,6430.84500(Note 2)

1.04200(Note 2)0.81990(Note 3)(Note 1) Average interest rates are based on actual number of days and weighted average. The number are rounded down.
(Note 2) For the debts with interest rate swap for hedging interest rate risk, the average interest rate incorporates the effect of such interest rate swap.
(Note 3) As from March 29, 2021, for the debts with interest rate swap for hedging interest rate risk, the average interest rate incorporates the effect of such interest rate swap.
(Note 4) The uses of the debt proceeds are the purchase of power plants.

46

47

Ⅰ. Asset Management Report(3) Investment Corporation Bond

(4) Transactions with Interested Parties

Name of Investment
Corporation Bond

Issue date

Beginningbalance

Canadian Solar
Infrastructure Investment
Corporation / The 1st
Unsecured Bond

November
6, 2019

1,100

Canadian Solar
Infrastructure Investment
Corporation / The 1st
Unsecured Bond (Green
bond)

January 26,
2021

3,800

Total

(million yen)

4,900

EndingBalance

Interest
rate (%)

Redemption
date

Redemption
methodPurpose

Abstract

1,100

0.71

November 6,
2024

Bullet(Note)

Unsecuredand noguarantee

3,800

0.80

January 26,
2026

Bullet(Note)

Unsecuredand noguarantee(million yen)

4,900

(Note) The purpose is repayment of the debt whose maturity is approaching, payment of future acquisition cost of specified assets, payment of repair cost and capital
expenditure, and working capital.

a.Sales and Purchases
Not applicableb.LeaseNot applicable.

6. Sales and Purchases during the Period(1) Summary for Sales and Purchases of Infrastructure Assets, Infrastructure-related Assets, Real Estate andAsset-backed Securities(3) Valuation of Specified Assets
Not applicable.

2,785,578
667,187

Purchase or
Sales(5) Unit Acquisition Right

Not applicable.

Tida Power 01 Godo Kaisha
LOHAS ECE 2 Godo Kaishac.Commission Paid
The summary of consignment of O&M services to stakeholders of the owing assets in the 12th fiscal period are as following.

Not applicable.

(2) Summary for Sales and Purchases of Other Assets

Lease Income Amount(in JPY thousand) (Note)(Note) The lease income amount presents the total of the base lease income amount and the performance liked lease income amount in the 12th fiscal period.

(4) Short-term Investment Corporation Bond

Not applicable.

Name

Canadian
Solar O&M
Japan K.K.

Name

Commission amount (in JPY thousand) (Note)

CS Shibushi-shi Power Plant

2,146

CS Isa-shi Power Plant

1,579

CS Kasama-shi Power Plant

2,914

CS Isa-shi Dai-ni Power Plant

2,890

CS Yusui-cho Power Plant

2,957

CS Isa-shi Dai-san Power Plant

3,701

CS Kasama-shi Dai-ni Power Plant

2,874

CS Hiji-machi Power Plant

4,217

CS Ashikita-machi Power Plant
CS Minamishimabara-shi Power Plant (East) / CS
Minamishimabara-shi Power Plant (West)
CS Minano-machi Power Plant

3,907
5,553
3,814

CS Kannami-cho Power Plant

1,809

CS Mashiki-machi Power Plant

70,262

CS Koriyama-shi Power Plant

829

CS Tsuyama-shi Power Plant

2,943

CS Ena-shi Power Plant

2,807

CS Daisen-cho Power Plant (A) and (B)40,508CS Takayama-shi Power Plant

1,291

CS Misato-machi Power Plant

1,425

CS Marumori-machi Power Plant

2,883

CS Izu-shi Power Plant

13,018CS Ishikari Shinshinotsu-mura Power Plant

3,221

CS Osaki-shi Kejonuma Power Plant

1,394

CS Hiji-machi Dai-ni Power Plant

62,960CS Ogawara-machi Power Plant

10,789(Note) The commission amount presents the commission amount for each owing asset in the 12th period.

(5) Asset Manager’s Transaction Related to Asset Manager’s Other Business

Asset Manager doesn’t conduct any of the type1 and type2 financial instrument exchange business, real estate transaction businessand specified joint real estate ventures. There was no applicable transaction during the period.

48

49

Ⅰ. Asset Management Report

Ⅱ. Balance Sheet

7. Summary of Accounts(Unit: thousand yen)

11th Period(December 31, 2022)(1) Summary of Assets, Liabilities, Capital and Income/Loss

Please see the balance sheet, statement of income, statement of changes in unitholders’ equity, note and statement of cash distribution.
Please note that the balance sheet, statement of income, statement of changes in unitholders’ equity, note and statement of cash
distribution for the 11th fiscal period are for reference and those are not subject to audit procedures for the 12th fiscal period by certified
public accountant or audit firm under the Article 130 of the Act on Investment Trusts and Investment Corporations.

(2) Change in Calculation Method of Depreciation
Not applicable.

(3) Change in Valuation Method of Infrastructure Assets and Real Estate
Not applicable.

12th Period(June 30, 2023)

AssetsCurrent Assets
Cash and bank deposit

5,271,544

4,989,834

Operating accounts receivable

798,973

1,035,888

Accounts receivable

13,141-

Prepaid expenses

262,709

181,049

Other current assets

59,46846,202

Total current assets

6,405,837

6,252,975

Fixed Assets(4) Company Setting Investment Trust Beneficial Securities

Property and equipment
Structures

Not applicable.

8. Other

1,056,877

1,064,093

Accumulated depreciation(193,153)(215,001)

Structures, net

863,724

849,092

42,480,349

42,495,764

Accumulated depreciation(8,203,513)(9,077,413)

Machinery and equipment, net

34,276,835

33,418,351

Machinery and equipment(1) Notificationa.Unitholders’ Meeting
The 4th unit holders’ meeting of CSIF was held on March 28, 2023. A summary of the major matters approved at the unitholders’ meetingis as follows.
Proposal

Summary

Partial amendment of the terms

The proposal was approved as originally proposed.

Appointment of one executive

The proposal was approved as originally proposed, and Hiroshi Yanagisawa was
appointed as an executive officer.

officer
Appointment of one SubstituteExecutive Director
Appointment of two Supervisory
Directors

The proposal was approved as originally proposed, and Keiichi Yoshida was appointed
as Substitute Executive Director.
The proposal was approved as originally proposed, and Takashi Handa and Eriko Ishii
were appointed as Supervisory Directors.

Appointment of one Substitute

The proposal was approved as originally proposed, and Kana Takahashi wasSupervisory Director

appointed as Substitute Supervisory Director.

b.Board of Executives Meeting
The following is an overview of the major agreements and changes approved by the Board of Executive Meeting of CSIF in the 12th fiscal
period.
Approval date
Item
Overview
June 30, 2023

Execution of new investment unit
underwriting agreement, etc.

(2) Treatment of Amount and Ratio with Fractional Point

We resolved to conclude a new investment unit
underwriting agreement, etc. for the issuance of new
investment units.

Unless otherwise described, the amounts are rounded down and the ratio are rounded up or down.

Tools, furniture and fixtures

591,663592,466

Accumulated depreciation(114,667)(126,616)

Tools, furniture and fixtures, net

476,996

465,849Land

4,505,944

4,505,944

Structures in trust

6,590,138

6,590,138

Accumulated depreciation(441,608)(563,468)

Structures in trust, net

6,148,530

6,026,670

Accumulated depreciation

20,291,246(1,549,535)

20,291,246(1,972,524)

Machinery and equipment in trust, net

18,741,711

18,318,722

94,264(7,036)

94,418(8,971)

Machinery and equipment in trust

Tools, furniture and fixtures in trust
Accumulated depreciation
Tools, furniture and fixtures in trust, net

87,22885,447

Construction in progress in trust

4,769,905-

4,769,905
3,751

Total property and equipment

69,870,876

68,443,734

1,156,923

1,156,923

Land in trust

Intangible assets
Leasehold rights
SoftwareTotal intangible assets

2,226

2,528

1,159,150

1,159,452

Investments and other assets
Long-term prepaid expenses

481,802443,268

Investment in capital

10

10Deferred tax assets

15

72

Long-term deposit

15,60015,600

Guarantee deposits

37,79037,790Total investment and other assets

535,217496,741

71,565,244

70,099,928

Investment corporation bond issuance cost

14,921

12,141

Total deferred assets

14,921

12,141

77,986,003

76,365,045

Total fixed assets
Deferred Assets

Total Assets

50

51

Ⅱ. Balance Sheet

Ⅲ. Statement of Income(Unit: thousand yen)

11th Period(December 31, 2022)(Unit: thousand yen)

12th Period(June 30, 2023)

11th period(from July 1, 2022
to December 31, 2022)

Liabilities

Operating revenues

Current liabilities
Accounts payable – operating
Current portion of long-term loans payable

87,32456,3992,275,477

2,267,295

Accounts payable – other161,541

158,704

Accrued expenses

123,547

120,796

914

848

Income taxes payable
Consumption tax payable

Total current liabilities

Rental revenues of renewable energy power generation facilities, etc.
Total operating revenues

Rental expenses of renewable energy power generation facilities, etc.

2,114,647※1

2,083,424

84,60728,873

1,265

511

Director’s compensation

2,400

2,400

2,726,843

2,689,163

Taxes and duties

164

52

Other operating expenses

71,612

72,905

Total operating expenses

2,331,848

2,296,597

1,383,301

1,156,173

29

28

4,900,000
29,376,343

Operating income or loss

Total non-current liabilities

35,412,844

34,276,343

Non-operating incomes

38,139,687

36,965,507

Net assets

Interest income
Dividends

Unitholders' equity

Insurance income
40,631,004

40,631,004

Deduction from unitholders’ capital(1,998,255)(2,234,888)

Unitholders’ capital (net value)

38,632,749

38,396,116

Unappropriated retained earnings (Accumulated deficit)

1,213,566

1,003,421

Total surplus

1,213,566

1,003,421

39,846,315

39,399,537

Surplus39,846,315
77,986,003※1

39,399,537
76,365,045-

0

39,28756,880

Other non-operating income

202

301

Total non-operating income

39,51957,210Interest expenses

148,732

141,496

Interest on investment corporation bond

19,262

18,947

Non-operating expenses

Amortization of investment corporation bond issuance cost

2,779

2,779

Borrowing-related expenses

37,73037,730-8,451

Loss on retirement of non-current assets
Total non-operating expenses

208,505

209,406

Ordinary income

1,214,315

1,003,977

Income before income taxes

1,214,315

1,003,977

Income taxes - current

918

852

Income tax - deferred

(2)

(57)

Total income taxes
Net income
Retained earnings (deficit) brought forward
Unappropriated retained earnings (Accumulated deficit)

52※1

108,941

4,900,000※1

3,452,770

27,251

30,512,844

Total net assets

3,715,150

3,452,770

115,772

Long-term loan payable

Total unitholders' equity※1

Operating expenses

Investment corporation bond

Unit holders’ capital

3,715,150

Administrative service fees

Non-current liabilities

Total liabilities※1

Asset management fee

76,773

Deposits received

Total liabilities and net assets

12th period(from January 1, 2023
to June 30, 2023)

915

794

1,213,400

1,003,182

165

239

1,213,566

1,003,421

53

Ⅳ. Statements of Changes in Unitholders’ Equity

Ⅴ. Notes

11th Fiscal Period (From July 1, 2022 to December 31, 2022)(Unit: thousand yen)

Unitholders’ equity
Unitholders’ capital
Unitholders’capitalBalance as of July 1,
2022

Deduction fromunitholders’capitalSurplus
Unitholders’capital(net)

Capital surplus
or loss

Total surplus

Totalunitholders’equitySummary of Significant Accounting Policies (from July 1, 2022 to December 31, 2022)
1.Method of depreciation and amortization of
non-current assets(1) Property and equipment
The straight-line method is adopted. In addition, the useful lives of major property andequipment are as shown below:
Structures…………………………………… 22 - 25 years
Machinery and equipment………………… 22 - 25 years
Tools, furniture and fixtures………………… 22 - 25 years
Structures in trust…
24 - 30 years
Machinery and equipment in trust……
24 - 25 years
Tools, furniture and fixtures in
24 - 25 years
trust…………………
(2) Intangible assets
The straight-line method is adopted. In addition, the useful life is as shown below:
Software…………………………………… 5 years(3) Long-term prepaid expenses
The straight-line method is adopted

2.Method of deferred assets amortization

Investment corporation bond issuance cost
The straight-line method over the period until the redemption date is adopted.

3.Standards for revenue and expense
recognition

Accounting for fixed assets tax
With respect to fixed assets tax, city planning tax and depreciable assets tax, among other taxes,on the infrastructure assets held, of the tax amount assessed and determined, the amountcorresponding to the calculation period is accounted as rental expenses. In addition,
reimbursement such as fixed assets tax, which is paid to the seller and other persons on theacquisition of infrastructure assets and other assets (“the amount equivalent to the fixed assets
taxes and other taxes”) is not recognized as rental expenses but included in the acquisition cost of
the concerned infrastructure assets and other assets.

4.Method of hedge accounting(1) Method of hedge accounting
Special treatment is adopted for the interest rate swap that meets the requirements for
special treatment.
(2) Hedging instruments and hedged items:･Hedging instruments…Interest rate swap transaction･Hedged items….Interest rate on loans(3) Policy for hedging
CSIF conducts derivative transactions to hedge risks as set forth in the CSIF’s Articles ofIncorporation according to the rules for risk management.
(4) Method of evaluation of effectiveness of hedging
The interest rate swap meets the requirements for special treatment, and thus the evaluationof effectiveness is omitted.

5.Other significant matters serving as thebasis for preparation of financial
statements

Accounting treatment with regard to trust beneficiary interest in real estateWith regards to trust beneficial interest in equipment of renewable energy power plants, allassets and liabilities within entrusted assets as well as all revenue and expense items which
occur to entrusted assets are recorded as the respective account titles on the balance sheet
and statements of income. The following important account titles among the entrusted assets
which are recorded as the respective account titles are separately indicated on the balance
sheet:
Structures in trust, Machinery and equipment in trust, Tools, furniture and fixtures in trust, Landin trust.

Total net assets

40,631,004(1,998,255)

38,632,749

1,509,284

1,509,284

40,142,034

40,142,034

－

－

－

(1,509,118)(1,509,118)(1,509,118)(1,509,118)

－

－

－

1,213,400

1,213,400

1,213,400

1,213,400－－－(295,718)(295,718)(295,718)(295,718)*1 40,631,004(1,998,255)

38,632,749

1,213,566

1,213,566

39,846,315

39,846,315

Changes of items
during the period
Dividend of surplus
Net Income
Total changes of
items during theperiodBalance as ofDecember 31, 2022

12th Fiscal Period (From January 1, 2023 to June 30, 2023)(Unit: thousand yen)

Unitholders’ equity
Unitholders’ capital
Unitholders’capitalBalance as of January
1, 2023

Deduction fromunitholders’capitalSurplus
Unitholders’capital(net)

Capital surplus
or loss

Total surplus

Totalunitholders’equityTotal net assets

40,631,004(1,998,255)

38,632,749

1,213,566

1,213,566

39,846,315

39,846,315

Distribution inexcess of earnings－(236,633)(236,633)－－(236,633)(236,633)

Dividend of surplus

－

－

－

(1,213,326)(1,213,326)(1,213,326)(1,213,326)

Net Income
Total changes of
items during theperiodBalance as of June 30,
2023

－

－

－

1,003,182

1,003,182

1,003,182

1,003,182－(236,633)(236,633)(210,144)(210,144)(446,777)(446,777)*1 40,631,004(2,234,888)

38,396,116

1,003,421

1,003,421

39,399,537

39,399,537

Changes of items
during the period

Summary of Significant Accounting Policies (from January 1, 2023 to June 30, 2023)

54

1.Method of depreciation and amortization of
non-current assets(1) Property and equipment
The straight-line method is adopted. In addition, the useful lives of major property andequipment are as shown below:
Structures…………………………………… 22 - 25 years
Machinery and equipment………………… 6 - 25 years
Tools, furniture and fixtures………………… 22 - 25 years
Structures in trust…
24 - 30 years
Machinery and equipment in trust……
24 - 25 years
Tools, furniture and fixtures in
24 - 25 years
trust…………………
(2) Intangible assets
The straight-line method is adopted. In addition, the useful life is as shown below:
Software…………………………………… 5 years(3) Long-term prepaid expenses
The straight-line method is adopted.

2.Method of deferred assets amortization(1) Investment corporation bond issuance cost
The straight-line method over the period until the redemption date is adopted.
(2) Investment units issuance costs
Expensed wholly when incurred.

55

Ⅴ. Notes
3.Standards for revenue and expense
recognition

4.Method of hedge accounting

5.Other significant matters serving as thebasis for preparation of financial
statements

Accounting for fixed assets tax
With respect to fixed assets tax, city planning tax and depreciable assets tax, among other taxes,on the infrastructure assets held, of the tax amount assessed and determined, the amountcorresponding to the calculation period is accounted as rental expenses. In addition,
reimbursement such as fixed assets tax, which is paid to the seller and other persons on theacquisition of infrastructure assets and other assets (“the amount equivalent to the fixed assets
taxes and other taxes”) is not recognized as rental expenses but included in the acquisition cost of
the concerned infrastructure assets and other assets.
(1) Method of hedge accounting
Special treatment is adopted for the interest rate swap that meets the requirements for
special treatment.
(2) Hedging instruments and hedged items:･Hedging instruments…Interest rate swap transaction･Hedged items….Interest rate on loans(3) Policy for hedging
CSIF conducts derivative transactions to hedge risks as set forth in the CSIF’s Articles ofIncorporation according to the rules for risk management.
(4) Method of evaluation of effectiveness of hedging
The interest rate swap meets the requirements for special treatment, and thus the evaluationof effectiveness is omitted.
Accounting treatment with regard to trust beneficiary interest in real estateWith regards to trust beneficial interest in equipment of renewable energy power plants, allassets and liabilities within entrusted assets as well as all revenue and expense items which occur
to entrusted assets are recorded as the respective account titles on the balance sheet andstatements of income. The following important account titles among the entrusted assets which arerecorded as the respective account titles are separately indicated on the balance sheet:
Structures in trust, Machinery and equipment in trust, Tools, furniture and fixtures in trust, Land intrust, Construction in progress in trust.

Notes to Statements of Changes in Unitholders’ Equity*1 Total number of authorized investment units and the total number of investment units issued and outstanding
From July 1, 2022
To December 31, 2022
Total number of authorized investment units

10,000,000 unit

10,000,000 unit

Total number of investment units issued andoutstanding

386,656 unit

386,656 unit

Notes on Tax Effect Accounting
1.Breakdown of deferred tax assets and deferred tax liabilities by major cause(Unit: thousand yen)

Fiscal period ended

As of December 31, 2022

Non-deductible excess depreciation

Notes to Statement of Income*1 Breakdown of profits and losses from the rental business of renewable energy power generation facilities, etc.
(Unit: thousand yen)

From January 1, 2023
to June 30, 2023

A. Operating revenue from the rental business of renewable energy power
generation facilities, etc.
Rental revenue of renewable energy power generation facilities, etc.
(Basic rent)

2,603,324

2,572,178(Variable rent linked to actual output)

1,111,032

880,587794

43,715,150

3,452,770(Incidental income)
Total operating revenue from the rental business of renewable energy
power generation facilities, etc.
B. Operating expenses from the rental business of renewable energy power
generation facilities, etc.
Rental expenses of renewable energy power generation facilities, etc.
(Management entrustment expenses)

254,787(Repair and maintenance costs)

50,561

29,835(Taxes and duties)

243,242

211,913

252,922(Utilities expenses)

6,915

7,262

(Insurance expenses)

37,24358,314(Depreciation expenses)

60

15

72

Net amount of deferred tax assets

15

72

2.Breakdown of each major item that causes a significant difference between the effective statutory tax rate and the rate of the burden of
corporate tax and other taxes after the application of tax effect accounting
Fiscal period ended

Fiscal period ended

December 31, 2022

June 30, 2023

31.46%

31.46%(31.43)%(31.44)%

Others

0.05%

0.06%

Rate of burden of corporate tax and other taxes after the applicationof tax effect accounting

0.08%

0.08%

Notes on Financial Instruments
For the 11th fiscal period (From July 1, 2022 to December 31, 2022)
1.Situation of financial instruments(1) Policy for financial instruments
CSIF procures funds for acquiring new assets or repaying loans through loans from financial institutions, issuing investment
corporation bond or issuing investment units. The basic policy is to build stable and sound financial operations to maintain andincrease earnings in the medium to long term and grow the size and value of assets(2) Details of the financial instruments and their risks and the risk management system
Long-term loans payables are one of the means to procure the funds for the acquisition of managed assets and are exposed tointerest rate fluctuation risk and liquidity risk, among other risks. However, this risk is deducted through the appropriate balancing of
the loan period and the interest rate type, and diversification of lenders, and the appropriate management of various types ofindexes, especially the general application of the upper limit of the ratio of interest-bearing, which is 60%.
(3) Supplementary explanation on fair value of financial instruments
The fair values of financial instruments are values based on market prices, or if there are no market prices, values are reasonably
calculated. Since certain assumptions are used for the calculation of fair values, they may change if different assumptions are used.
2. Matters relating to fair values of financial instruments
The table below shows the book value and fair values of financial instruments as of December 31, 2022 and the difference between
them. Cash and bank deposit and Operating accounts receivable whose fair values approximate to book values due to cash and being
settled in a short period are not included in the table. Long-term deposit and Guarantee deposits which has little significance is notincluded in the table.
(Unit: thousand yen)Book value

Fair value

Difference

1,453,152

1,454,481(1) Current portion of long-term loans payable

2,275,477

2,278,187

2,709(Land rent)

62,09662,044(2) Long-term loans payable

30,512,844

30,766,331

253,487(Trust fees)

6,600

6,600

(3) Investment corporation bond

4,900,000

4,894,170(5,830)49

49

Total liabilities

37,688,321

37,938,688

250,367

2,114,647

2,083,424－－－(Other rental expenses)
Total operating expenses from the rental business of renewableenergy power generation facilities, etc.
C. Profits and losses from the rental business of renewable energy power
generation facilities, etc. (A-B)

56

12

-

Total deferred tax assets

Dividends paid deductible for tax purpose(Unit: thousand yen)

50,000From July 1, 2022
to December 31, 2022

June 30, 2023
15

(Adjustment)

As of June 30, 2023
50,000Fiscal period ended

December 31, 2022
Accrued business tax not deductible from taxable income

Effective statutory tax rate

Notes to Balance Sheet*1 Minimum net assets stipulated in Article 67, Paragraph 4 of the Act on Investment Trusts and Investment Corporations

From January 1, 2023
To June 30, 2023

1,600,502

1,369,346(4) Derivative transaction(Note 1) Methods used for estimating the fair values of financial instruments and matters related to derivative transactions
Liabilities(1) Current portion of long-term loans payable (2) Long-term loans payable
With respect to long-term loans payable at variable interest rates, the condition that the interest rates are renewed every certain period is applied to loans, and thus
the market value is considered to be close to the book value. Accordingly, the book value is used. In addition, for the long-term loans payable at variable interest

57

Ⅴ. Notes
rates subject to the special treatment of interest rate swap (refer to (4) 2. below), the fair value is measured by discounting the total sum of the principal and interest
treated together with the said interest rate swap as one at the interest rate that is applied when the similar loan is obtained and that is reasonably estimated.
(3) Investment corporation bondFair value is based on market value.
(4) Derivative transaction
1. Those to which hedge accounting is not applied
Not applicable.
2. Those to which hedge accounting is applied(Unit : thousand yen)
Method of hedge
accounting
Special treatment ofinterest rate swap

Type of derivativetransactions and othermatters
Interest rate swap
transaction
Fixed payment/variable
receipt

Contract amount and other amounts
Major items hedged

Long-term loans
payable32,788,321

Longer than
one year

Fair value

Method ofcalculation of said
market value

30,512,844(Note)－(1) Long-term loans payable

Longer than two
years, within threeyears

Longer than three
years, within fouryears

Longer than four
years, within fiveyears

Longer than fiveyears

2,275,477

2,228,931

2,270,245

2,256,998

9,570,112

14,186,556－

1,100,000－

3,800,000－－

2,275,477

3,328,931

2,270,245

6,056,998

9,570,112

14,186,556(2) Investment corporation bond
Total

(Unit: thousand yen)

Longer than one
year, within two
years

Within one year

For the 12th fiscal period (From January 1, 2023 to June 30, 2023)
1.Situation of financial instruments(1) Policy for financial instruments
CSIF procures funds for acquiring new assets or repaying loans through loans from financial institutions, issuing investment
corporation bond or issuing investment units. The basic policy is to build stable and sound financial operations to maintain andincrease earnings in the medium to long term and grow the size and value of assets(2) Details of the financial instruments and their risks and the risk management system
Long-term loans payables are one of the means to procure the funds for the acquisition of managed assets and are exposed tointerest rate fluctuation risk and liquidity risk, among other risks. However, this risk is deducted through the appropriate balancing of
the loan period and the interest rate type, and diversification of lenders, and the appropriate management of various types ofindexes, especially the general application of the upper limit of the ratio of interest-bearing, which is 60%.
(3) Supplementary explanation on fair value of financial instruments
The fair values of financial instruments are values based on market prices, or if there are no market prices, values are reasonably
calculated. Since certain assumptions are used for the calculation of fair values, they may change if different assumptions are used.
2. Matters relating to fair values of financial instruments
The table below shows the book value and fair values of financial instruments as of June 30, 2023 and the difference between them.
Cash and bank deposit and Operating accounts receivable whose fair values approximate to book values due to cash and being settled
in a short period are not included in the table. Long-term deposit and Guarantee deposits which has little significance is not included in
the table.
(Unit: thousand yen)Book value

Fair value

Difference(1) Current portion of long-term loans payable

2,267,295

2,268,972

1,676(2) Long-term loans payable

29,376,343

29,513,817

137,474(3) Investment corporation bond

4,900,000

4,885,960(14,040)

Total liabilities

36,543,639

36,668,750

125,110－－－(4) Derivative transaction(Note 1) Methods used for estimating the fair values of financial instruments and matters related to derivative transactions
Liabilities(1) Current portion of long-term loans payable (2) Long-term loans payable
With respect to long-term loans payable at variable interest rates, the condition that the interest rates are renewed every certain period is applied to loans, and thus
the market value is considered to be close to the book value. Accordingly, the book value is used. In addition, for the long-term loans payable at variable interest
rates subject to the special treatment of interest rate swap (refer to (4) 2. below), the fair value is measured by discounting the total sum of the principal and interest
treated together with the said interest rate swap as one at the interest rate that is applied when the similar loan is obtained and that is reasonably estimated.
(3) Investment corporation bondFair value is based on market value.
(4) Derivative transaction
1. Those to which hedge accounting is not applied
Not applicable.

58(Unit : thousand yen)

Method of hedge
accounting

Type of derivativetransactions and othermatters

Major items
hedgedSpecial treatment ofinterest rate swap

Interest rate swap transaction
Fixed payment/variable receipt

Long-termloans payable

Contract amount and other amounts

31,643,639

Longer than
one year

Fair value

Method ofcalculation of said
market value

29,376,343(Note)－(Note) Those that are subject to special treatment of interest rate swap are treated together with the current portion of long-term loans payable and the long-termloans payable to be hedged as one, and thus their fair value is presented together with the fair value of (Note 1) (1) Current portion of long-term loans
payable and (2) Long-term loans payable in “Notes on financial instruments 2.Matters relating to fair values of financial instruments, among other matters” .
(Note 2) Scheduled redemption amounts of loans payables after the closing date (June 30, 2023)(Note) Those that are subject to special treatment of interest rate swap are treated together with the current portion of long-term loans payable and the long-termloans payable to be hedged as one, and thus their fair value is presented together with the fair value of (Note 1) (1) Current portion of long-term loans
payable and (2) Long-term loans payable in “Notes on financial instruments 2.Matters relating to fair values of financial instruments, among other matters” .
(Note 2) Scheduled redemption amount of loans payables after the closing date (December 31, 2022)

2. Those to which hedge accounting is applied

Longer than two
years, within threeyears

Longer than three
years, within fouryears

Longer than four
years, within fiveyears

Longer than fiveyears

2,267,295

2,206,896

2,301,459

2,240,050

9,164,997

13,462,939－

1,100,000

3,800,000－－－

2,267,295

3,306,896

6,101,459

2,240,050

9,164,997

13,462,939

Within one year
(1) Long-term loans payable(2) Investment corporation bond
Total

(Unit: thousand yen)

Longer than one
year, within two
years

Notes on Investment and Rental Property
CSIF has renewable energy power generation facilities, etc. The book value change during the period and fair value at the end of theperiod are as shown below.
(Unit: thousand yen)

Fiscal period ended

Fiscal period ended

December 31, 2022

June 30, 2023

Book value (Note 2)
Beginning balance

72,411,603

71,027,800

Change during the period (Note 3)(1,383,803)(1,430,893)

Ending balance

71,027,800

69,596,907

Fair value at the end of the period (Note 4)

75,519,000

74,876,000(Note 1) The real estate that CSIF holds is real estate to be provided for the use of renewable energy power generation facilities, and thus with respect to the book value and thefair value, the amount of the renewable energy power generation facilities and real estate are stated together as one.
(Note 2) The book value for the balance sheet is the amount at acquisition cost less the accumulated depreciation.
(Note 3) The change during the period ended December 31, 2022 primarily consisted of the increase due to capital expenditure for photovoltaic power generation facilities (69,349
thousand yen), and the decrease due to depreciation expenses (1,453,152 thousand yen). And the change during the period ended June 30, 2023 primarily consisted of
the increase due to capital expenditure for photovoltaic power generation facilities (23,588 thousand yen), and the decrease due to depreciation expenses (1,454,481
thousand yen).
(Note 4) The fair value is the total sum of the median amount that we calculated according to Article 41, paragraph 1 of the CSIF's Articles of Incorporation on the basis of theappraised value in the range stated in the valuation report with the date of the value opinion on December 31, 2022 and June 30, 2023, which was obtained fromPricewaterhouseCoopers Sustainability LLC (for S-01 to S-18). And, the fair value is the total sum of the median amount on the basis of the appraised value stated in thevaluation report with the date of the value opinion on December 31, 2022 and June 30, 2023, which was obtained from Kroll International Inc (for S-19 to S-25).The fairvalue which is the total sum of the median amount stated in the valuation report of Kroll International Inc is rounded down to the nearest million yen.

In addition, profits and losses from the renewable energy power generation facilities, etc. for the fiscal period ended December 31, 2022
(the 11th period) and the fiscal period ended June 30, 2023 (the 12th period) are as stated in the “Notes to statement of income” above.
Notes on Restriction for Asset Management
Not applicable.
Notes on Related Party Transaction
For current period (from July 1, 2022 to December 31, 2022)
Attribute

Interested
Party of
Asset
Manager

Name

Address

Canadian Solar
O&M Japan
K.K.

43F Shinjuku
Mitsui Bldg.,
Nishi-shinjuku
2-1-1,
Shinjuku-ku,
Tokyo JAPAN

Capital(in JPY
thousand)Business

100,000

Operation and
Maintenance

Number ofUnits Hold
(Held)－

Relationship
Concurrent
Position of
Executive

Business
RelationshipTransactionOutsourcing
Payment
Not
of Operationof O&Mapplicable andFee
MaintenanceTransaction
Amount(in JPY
thousand)Account(Note 1) (Note 2)

251,809

EndingBalance(in JPY
thousand)(Note 1)

Accounts
Payable87,324(Note 1) The amounts exclude consumption taxes.
(Note 2) The condition of transactions are referring to market prices etc.

59

Ⅴ. Notes
For prior period (from January 1, 2023 to June 30, 2023)
Attribute

Interested
Party of
Asset
Manager

Name

Canadian Solar
O&M Japan
K.K.

Address

50F Shinjuku
Mitsui Bldg.,
Nishi-shinjuku
2-1-1,
Shinjuku-ku,
Tokyo JAPAN

Capital(in JPY
thousand)Business

100,000

Operation and
Maintenance

Number ofUnits Hold
(Held)－

Relationship
Concurrent
Position of
Executive

Business
RelationshipTransacti
onTransaction
Amount(in JPY
thousand)Account(Note 1) (Note 2)

Outsourcing
Payment
Not
of Operationof O&Mapplicable andFee
Maintenance

252,704

EndingBalance(in JPY
thousand)(Note 1)

Accounts
Payable56,399(Note 1) The amounts exclude consumption taxes.
(Note 2) The condition of transactions are referring to market prices etc.

Notes on Per Unit Information
Prior fiscal period

Current fiscal period

From July 1, 2022
to December 31, 2022

From January 1,2023
to June 30, 2023

Net assets per unit
Net income per unit

103,053 yen
3,138 yen

Net income per unit is calculated by dividing net income by theaverage number of investment units during the period.
With respect to diluted profit per unit for the period, there are no
dilutive investment units, and thus the statement is omitted.

Net assets per unit
Net income per unit

101,898 yen
2,594 yen

Net income per unit is calculated by dividing net income by theaverage number of investment units during the period.
With respect to diluted profit per unit for the period, there are no
dilutive investment units, and thus the statement is omitted.

Net income (Net loss) (Thousand yen)Amount not attributable to common unit holders (Thousand yen)
Net income (Net loss) attributable to Common unit holders (Thousand yen)
Average number of investment units during the period (Units)

Current fiscal period

From July 1, 2022
to December 31, 2022

From January 1, 2023
to June 30, 2023

1,213,400

1,003,182－－

1,213,400

1,003,182

386,656

386,656

Notes on Subsequent Event after the Balance Sheet Date
For the 11th fiscal period (From July 1, 2022 to December 31, 2022)
Not applicable.
For the 12th fiscal period (From January 1, 2023 to June 30, 2023)(i) Issuance of new investment units
The payment on July 18, 2023 for the issuance of new investment units through public offering and the payment on August 10,
2023 for the new investment units to be issued through third-party allotment have been completed, that were resolved at the boardof directors meeting regarding the issuance of new investment units held on June 30, 2023, as follows. As a result, the total amountof unitholders’ capital is 45,718,564 thousand yen, and the total number of investment units issued and outstanding is 451,756 units
as of the date of issuance of this statement.
(a) Issuance of new investment units through public offering
Number of investment units to
62,000 units
be offered
Issue Price (Offer Price)
117,292 yen per unit
Total Issue Price (Total Offer Price)
7,272,104,000 yen
Amount to be paid in (Issue Value)
112,480 yen per unit
Total amount to be paid in (Total Issue
6,973,760,000 yen
Value)
Payment Date
Tuesday, July 18, 2023
Use of proceed
The net proceeds from the public offering were used for apart of the fund for the acquisition of specified assets
described in (iii) Acquisition of assets, as follows.

60(ii) Borrowing of funds
CSIF completed the borrowing of funds (hereinafter referred to as the “Borrowings”) on July 19, 2023, as followings. The funds
from the Borrowings were used for a part of the fund for the acquisition of specified assets and other related costs described in (iii)
Acquisition of assets, as follows.
Type(Note 1)

(Note) The basis of calculation of net income (net loss) per unit is as follows.

Prior fiscal period(b) New investment units to be issued through third-party allotment
Number of units to be issued
3,100 units
Amount to be paid in (Issue Value)
112,480 yen per unit
Total amount to be paid in (Total Issue
348,688,000 yen
Value)
AllotteeMizuho Securities Co., Ltd.
Payment dateThursday, August 10, 2023
The proceeds from the issuance of new investment units
Use of proceed
through the third-party allotment shall be reserved as funds
in hand to be allocated to a part of the fund for acquiring thespecified assets (as set forth in Article 2, Paragraph 1 of the
Act on Investment Trusts and Investment Corporations), thatsatisfy the eligibility criteria set forth in the Green Finance
Framework formulated by CSIF in the future or a part of thefund for repaying existing loans.

Lenders

BorrowingAmountInterest
Rate(Note 2)

Drawdown DateBorrowing
MethodMaturity Date

Borrowingbased onindividual term
The
Base rate
loan
corresponding
July 19, agreements
plus
date at 10 years
2023 entered into on
0.45%
from the(Note 6)
July 12, 2023
drawdown datewith the lenders
listed in the left
columnBorrowing
Syndicate of lenders
based onarranged by Sumitomo Mitsui
individual term
Base rate
The
Banking Corporation, Mizuho
loan¥5,800plus
corresponding
July 19, agreements
Bank, Ltd. and SBI Shinsei
Long-term
million
0.45%
date at 10 years
2023 entered into on
Bank, Limited as arrangers(Note 5) (Note 6)
from theand MUFG Bank, Ltd. andJuly 12, 2023
(Note 9)drawdown date
Sumitomo Mitsui Trust Bank,
with the lenders
Limited as co-arranger
listed in the left
columnBorrowing
The earlier datebased onindividual term of (i) July 19,
Sumitomo Mitsui Banking
Base rate
2024 or (ii) the
loan¥1,100July 19, agreements
Corporation, Mizuho Bank,
plus
first interest
Short-term
million2023
Ltd. and SBI Shinsei Bank,
0.20%
entered into on payment date
(Note 7)
Limited(Note 8)after theJuly 12, 2023
with the lenders consumption tax
listed in the left refund datecolumnSyndicate of lenders
arranged by Sumitomo Mitsui
Banking Corporation, Mizuho¥5,800Bank, Ltd. and SBI Shinsei
Long-term
million
Bank, Limited as arrangers(Note 5)and MUFG Bank, Ltd. and
Sumitomo Mitsui Trust Bank,
Limited as co- arranger

Repayme Security /nt Method Guarantee(Note 3) (Note 4)

Unsecured,

Balloonunguarante(Note 5)ed

Unsecured,

Balloonunguarante(Note 5)ed

Unsecured,

Bulletunguarante
ed(Note 1) “Long-term” refers to borrowings that have a period of over one year from the drawdown date to the maturity date and “Short-term” refers to borrowings that have aperiod of less than one year from the drawdown date to the maturity date.
(Note 2) Finance-related costs paid to the lenders are not included.
(Note 3) CSIF can make an early repayment during the period from the drawdown date to the maturity date of all or settlement date of CSIF, such as the total amount ofinterest-bearing liabilities to the total asset value, debt-to-equity ratio and debt service coverage ratios as indicators to determine the ability of CSIF to repay theloan. Breaches of such covenants for 2 successive fiscal periods or an occurrence of an acceleration event could result in being required to grant security interests
in favor of the lenders.
(Note 5) The first principal repayment date will be December 31, 2023, and subsequent principal repayment dates will be the last days of June and December (if a principal
repayment date is not a business day, then the payment will be made on the immediately succeeding business day; provided, however, that if such payment day
falls into the following month, then the payment will be made on the immediately preceding business day) and the remaining principal on the maturity date will be
repaid in a single installment (balloon amortization). The rate of capital redemption planned on December 31, 2023 is 2.90% of the Borrowing Amount if the loan
takes the balloon payment method.
(Note 6) The applicable base rate for each interest calculation period (being 3 months, excluding the first and last interest period) for the calculation of the interest payable
on the interest payment date will be the 3 month Japanese yen TIBOR (Tokyo Interbank Offered Rate) announced by the General Incorporated Association JBA

61

Ⅴ. Notes

Ⅵ. Statement of Cash Distribution(Japanese Bankers Association) TIBOR Administration on the 2nd business day prior to the drawdown date for the first interest calculation period and on the 2nd
business day prior to the beginning of each relevant interest calculation period thereafter. The applicable base rate will be revised for each interest period.
However, if a corresponding base rate is not available for an interest calculation period, the base rate will be calculated using the method agreed in the relevantloan agreement. Fluctuations in JBA’s TIBOR can be checked at the General Incorporated Association JBA TIBOR Administration’s website(https://www.jbatibor.or.jp/rate/).
(Note 7) Bridge Loan for Consumption Tax Payment is used to pay consumption tax, and it is to be repaid by the tax refund.
(Note 8) The applicable base rate for each interest calculation period (being 1 month, excluding the first and last interest period) for the calculation of the interest payable
on the interest payment date will be the 1 month Japanese yen TIBOR (Tokyo Interbank Offered Rate) announced by the General Incorporated Association JBA(Japanese Bankers Association) TIBOR Administration on the 2nd business day prior to the drawdown date for the first interest calculation period and on the 2nd
business day prior to the beginning of each relevant interest calculation period thereafter. The applicable base rate will be revised for each interest period.
However, if a corresponding base rate is not available for an interest calculation period, the base rate will be calculated using the method agreed in the relevantloan agreement. Fluctuations in JBA’s TIBOR can be checked at the General Incorporated Association JBA TIBOR Administration’s website(https://www.jbatibor.or.jp/rate/).

(iii) Acquisition of assets
CSIF acquired the following solar energy facilities, etc. on July 19, 2023.
Asset
Project namenumber(Note 1)

Location(Note 2)Acquisition price(million)

S-26

CS Fukuyama-shi Power Plant

Fukuyama-shi, Hiroshima

1,340

S-27

CS Shichikashukumachi Power Plant(Note 3)

Katta-gun, Miyagi

3,240

S-28

CS Kama-shi Power Plant

Kama-shi, Fukuoka

586

S-29

CS Miyako-machi Saigawa Power Plant(Note 4)

Miyako-gun, Fukuoka

5,780

S-30

CS Kasama-shi Dai-san Power Plant

Kasama-shi, Ibaraki

5,840

Total

‐

16,786(Note 1) Asset numbers are assigned to the projects, based on the classification of the renewable energy power generation facility. ‘S’ denotes a solar
energy project.
(Note 2) Based on the land or parcel of land upon which the solar energy facility is located, as described in the property registry. The address is
described down to the city or district level.
(Note 3) With respect to CS Shichikashuku-machi Power Plant, CSIF paid 345,173,638 yen, which is equivalent to the land rent after July 1, 2023, thefirst day on which the income and expenses of the property vest in CSIF, to the seller in settlement of the amount paid as advance land rent
under the agreement for the establishment of surface rights to which the seller is a party, in addition to the anticipated acquisition price.
(Note 4) CS Miyako-machi Saigawa Power Plant is a solar power generation facility consisting of CS Miyako-machi No. 1 Power Plant, CS Miyakomachi No. 2 Power Plant, CS Miyako-machi No. 3 Power Plant, CS Miyako-machi No. 4 Power Plant, CS Miyako-machi No. 9 Power Plant
and CS Miyako-machi No. 10 Power Plant, each of which is independently certified as a facility under the pre-revision Act of 2016 on Special
Measures Concerning Procurement of Renewable Energy Electricity by Electric Utilities Article 6, Paragraph 1 (Law No. 108 of 2011, including
subsequent amendments) (hereinafter referred to as the "Renewable Energy Special Measures Act"), and is managed as a single solar energy
facility.

Notes on Revenue Recognition
Not applicable.

62

I Unappropriated retained earnings (accumulated
deficit)
II Distributions in excess of retained earnings
Deduction from unitholders’ capital
III Cash distributions(Cash distributions per unit)
Profit distributions(Profit distributions per unit)
Distributions in excess of retained earnings(Distributions in excess of retained earnings)
IV Retained earnings (deficit) carried forward
Calculation method for cash distributions

Fiscal Period under Review

Fiscal Period under Review(From July 1, 2022
to December 31, 2022)(From January 1, 2023
to June 30, 2023)

1,213,566,004 Yen

1,003,421,642 Yen

236,633,472 Yen
1,449,960,000 Yen(3,750) Yen
1,213,326,528 Yen(3,138) Yen
236,633,472 Yen(612) Yen
239,476 Yen
In accordance with Articles 47, Paragraph
1 of Canadian Solar Infrastructure Fund, Inc.
(“CSIF’) s Articles of Incorporation, theamount of cash distributions shall be theamount of profit in excess of an amountequivalent to 90% of distributable profits, as
stipulated in Article 67-15 of the Act on
Special Measures Concerning Taxation.
Based on this policy, CSIF decided to make
distributions of ¥1,213,326,528 which is theentire amount equivalent to theunappropriated retained earnings for the
fiscal period under review of ¥1,213,566,004
excluding fractions of the distribution per unitthat are less than ¥1.
CSIF distributes cash in excess ofretained earnings every fiscal period basedon the cash distribution policy prescribed in
Article 47, Paragraph 2 of CSIF’s Articles ofIncorporation. Based on this policy, CSIF
decided to make cash distributions in excessof earnings (return of capital categorized asa distribution of the reduction in capital for
Japanese tax purposes) in the amount of¥236,633,472 which is equivalent to 16.3%of the amount of depreciation expenses
recorded for the fiscal period under review of¥1,453,687,832.
Accordingly, the distribution per unit is¥3,750.

446,587,680 Yen
1,449,960,000 Yen(3,750) Yen
1,003,372,320 Yen(2,595) Yen
446,587,680 Yen(1,155) Yen
49,322 Yen
In accordance with Articles 47, Paragraph
1 of Canadian Solar Infrastructure Fund, Inc.
(“CSIF’) s Articles of Incorporation, theamount of cash distributions shall be theamount of profit in excess of an amountequivalent to 90% of distributable profits, as
stipulated in Article 67-15 of the Act on
Special Measures Concerning Taxation.
Based on this policy, CSIF decided to make
distributions of ¥1,003,372,320 which is theentire amount equivalent to theunappropriated retained earnings for the
fiscal period under review of ¥1,003,421,642
excluding fractions of the distribution per unitthat are less than ¥1.
CSIF distributes cash in excess ofretained earnings every fiscal period basedon the cash distribution policy prescribed in
Article 47, Paragraph 2 of CSIF’s Articles ofIncorporation. Based on this policy, CSIF
decided to make cash distributions in excessof earnings (return of capital categorized asa distribution of the reduction in capital for
Japanese tax purposes) in the amount of¥446,587,680 which is equivalent to 30.7%of the amount of depreciation expenses
recorded for the fiscal period under review of¥1,454,833,616.
Accordingly, the distribution per unit is¥3,750.

(Note) Distributions in excess of retained earnings per unit will generally be based on the cash distribution policy prescribed in CSIF’s Articles of Incorporation and the AssetManager’s asset management guideline.
CSIF intends to make cash distributions of NCF within the FCF generated from the renewable energy power generation facilities. The amount available for distribution shallbe calculated by multiplying NCF by the payout ratio.
Further, CSIF intends to make distributions in excess of retained earnings for each fiscal period in order to realize such policy.
CSIF’s forecasts (including revised forecasts) for each fiscal period are based on the assumption of the Forecast Power Generation (P50) provided in the independent
technical report which is used as a basis for calculating rents for renewable energy power generation facilities and if actual NCF calculated based on actual power
generation during the applicable fiscal period exceeds forecast NCF, CSIF’s policy is to set “forecast NCF multiplied by the payout ratio” as the upper limit of the amount ofcash distributions for the applicable fiscal period.
On the other hand, if actual NCF is less than forecast NCF, CSIF’s policy is to set “actual NCF multiplied by the payout ratio” as the amount of cash distributions for theapplicable fiscal period.
Based on this policy, CSIF decided to make distributions for the previous fiscal period of ¥1,449,960,000 which is equivalent to 77.1% of forecast NCF amount for the fiscal
period under review of ¥1,880,540,436. Of this, ¥236,633,472 which is the amount less of distributions of profit of ¥1,213,326,528 is distributions in excess of retained
earnings.
Based on this policy, CSIF decided to make distributions for the current fiscal period of ¥1,449,960,000 which is equivalent to 76.4% of forecast NCF amount for the fiscal
period under review of ¥1,898,513,782. Of this, ¥446,587,680 which is the amount less of distributions of profit of ¥1,003,372,320 is distributions in excess of retained
earnings.

63

Ⅶ. Statement of Cash Flow(unit: thousand yen)

11th period

12th period(From July 1, 2022
to December 31, 2022)(From January 1, 2023
to June 30, 2023)

Scope of funds in statement of cash
flows

Cash flows from operating activities
Income (Loss) before income taxes

1,214,315

1,003,977

Depreciation cost

1,453,687

1,454,833

2,779

2,779

Amortization of investment corporation bond issuance expenses
Interest income and dividends

(29)

(28)

167,994

160,444

(202)

(291)

Decrease (Increase) in operating accounts receivable

349,688(236,915)

Decrease (Increase) in account receivable(13,141)

13,141

Interest expenses
Other non-operating income

Decrease (Increase) in consumption taxes payable(71,785)

7,645

Decrease (Increase) in prepaid expenses(99,119)

81,659Decrease (Increase) in long-term prepaid expenses

38,53338,533

Increase (Decrease) in operating accounts payable

22,025(35,111)

Increase (Decrease) in accounts payable - other(10,459)(45)

Increase (Decrease) in accrued expenses(15,040)(1,784)

Other, net

16,824

12,512Sub-total

3,056,072

2,501,351

Interest received
Interest paid
Income taxes paid
Net cash provided by (used in) operating activities

Summary of Significant Accounting Policies

29

28(167,082)(161,410)

(857)

(918)

2,888,162

2,339,051(72,094)(25,465)

From July 1, 2022
To December 31, 2022

From January 1, 2023
To June 30, 2023

Funds (cash and cash equivalents) in statement ofcash flows consist of cash on hand, demand
deposits and short-term investments with amaturity of three months or less at the date ofacquisition that can readily be converted into cash
and that are subject to insignificant risks ofchanges in value.

Funds (cash and cash equivalents) in statement ofcash flows consist of cash on hand, demand
deposits and short-term investments with amaturity of three months or less at the date ofacquisition that can readily be converted into cash
and that are subject to insignificant risks ofchanges in value.

Notes to Statement of Cash Flows*1 Relationship between the ending balance of cash and cash equivalents and the amounts on the balance sheet
From July 1, 2022
To December 31, 2022
*1 Relationship between the ending balance of cash and cash
equivalents and the amounts on the balance sheet(as of December 31, 2022)

From January 1, 2023
To June 30, 2023
*1 Relationship between the ending balance of cash and cash
equivalents and the amounts on the balance sheet(as of June 30, 2023)

Cash and deposits
Term deposits over three months
Cash and cash equivalents

Cash and deposits
Term deposits over three months
Cash and cash equivalents(unit: thousand yen)

5,271,544
5,271,544(unit: thousand yen)

4,989,834
4,989,834

Cash flows from investing activities
Purchases of property and equipment
Purchases of intangible assets

(825)

(654)

(72,919)(26,119)

Repayment of long-term loans payable(1,116,861)(1,144,681)

Dividends paid

(1,509,118)(1,213,326)

Net cash provided by (used in) investing activities
Cash flows from financing activities

Surplus earning distribution paid
Net cash provided by (used in) financing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the fiscal period
Cash and cash equivalents at the end of the fiscal period※1－(236,633)(2,625,979)(2,594,641)

189,264(281,710)

5,082,280

5,271,544

5,271,544※1

4,989,834(Note) The statement of cash flow is prepared based on the "Regulations Concerning Terminology, Forms, and Preparation Methods of Financial Statements" (Ministry of FinanceRegulation No.59, 1963) and attached as the reference information. This statement of cash flow is not subject to the financial audit by an accounting auditor according to the
Article 130 in the Act on Investment Trusts and Investment Corporations and so it has not undergone an accounting audit by an accounting auditor.

64

65